The trends analysis by Housing.com reports that next year’s real estate landscape will see evolving expectations of the Homebuyers. The Real estate Markets reports of Mumbai Pune and Hyderabad will steer the residential real estate sector’s growth in 2024. The report by Housing.com has mentioned these cities as the epicenter of India’s Real estate sector’s growth.
The IRIS index listed by Housing.com reports rated India at 131 points in December. The country is achieving a historical peak of 83 percent. This trend also suggests that there is going to be positive market growth in the upcoming months.
Demand for Luxury Homes in 2024:
Larger Homes in High Demand- The demand for large luxurious homes is rising. The high demand for 3 BHK and above luxurious homes has started getting started. The number of queries about these luxurious houses and their expansive layouts has increased 6 times. This increase in the queries is seen as a Year-on-Year increase in the year 2023.
The Luxury Homes are attracting more buyers than ever before.
There will be a sharp increase in the demand for homes in the bracket of 1-2 Crore rupees in the upcoming year, 2024. These homes have already seen an exceptional increase up to 7.5 times, in online searches. On an Year-on-Year basis.
The Response of Housing.com Reports :
In his commentary, Dhruv Agarwala, the Group CEO overseeing Housing.com, PropTiger.com, and Makaan.com, emphasized the transformative nature of 2023 in the Indian real estate landscape. Describing it as a landmark year, he highlighted the sector’s exceptional growth and resilience, overcoming challenges posed by elevated interest rates and global uncertainties. Agarwala commended the industry’s robustness, attributing it to the Reserve Bank of India’s decision to pause rate hikes in April. This strategic move, combined with pent-up post-pandemic demand, played a pivotal role in bolstering buyer confidence.
Agarwala keenly observed a discernible upswing in residential demand cutting across various market segments, setting a promising tone for the upcoming year, 2024. The positive momentum reflects not only the industry’s adaptability but also signals the responsiveness of homebuyers to evolving economic conditions. As the real estate sector continues to navigate challenges with resilience, the outlook for 2024 appears auspicious, driven by a confluence of strategic decisions, economic dynamics, and the enduring appeal of real estate investments.
Ankita Sood, Head of Research at Housing.com reports, PropTiger.com, & Makaan.com, anticipates a positive trajectory for the real estate sector in 2024. The upcoming year is positioned to witness substantial momentum in both property buying and renting, according to the IRIS index that diligently tracks upcoming demand, projecting a northward movement. Sood notes a noteworthy surge in property prices, escalating by 15-20% from pre-COVID levels. Monthly rents have also experienced a significant spike, ranging between 25-50% in key areas of cities, predominantly propelled by the service industry.
Contrary to the conventional focus on metros, Sood envisions the growth in 2024 extending beyond these urban centers. Tier-2 cities are poised to emerge as significant contributors to this growth, evolving into newfound economic and realty epicenters. This dynamic shift points towards a more inclusive and expansive landscape for the real estate sector in the coming year.
According to the Housing.com reports, the hottest localities for real estate investment in 2024 are:
Greater Noida West (Greater Noida)
Mira Road East (Mumbai)
Malad West (Mumbai)
The booming Real estate in Tier 2 cities:
The level of growth in the Tier 1 cities is highly affirmative in the year 2024. The cities like Gurugram, Mumbai, Pune, Bangalore, and Hyderabad will witness a high increase. This increase is due to the resuming of offices after the Covid work-from-home system. These cities will get a handsome increase in the rent income levels, i.e. 25-50 percent.
The tier 2 cities are going to be the second-line winners with an increase in the activity of real estate. The cities like Mohali, Lucknow, Jaipur, Indore, and Vadodara are going to emerge as big markets in the future. They are showing a great Year-on-Year growth in the searches of the online search engines for buying.
Gated communities featuring ready-to-move-in properties are set to wield substantial influence in home purchases throughout 2024. The Consumer Sentiment Outlook reinforces this trend, indicating a pronounced inclination among homebuyers toward direct purchases from developers. This preference signifies a revived trust in new property developments, surpassing the appeal of resale properties. The collective implication of these trends delineates a dynamic and evolving panorama in homebuyer preferences within India’s residential real estate market for 2024.
In conclusion, the vibrant landscape highlighted by these trends underscores the evolving expectations of homebuyers. This analysis serves as a valuable resource for both homebuyers and developers, facilitating well-informed decision-making within the dynamic and competitive market environment prevalent in India’s residential real estate sector.