Housing Sales Cross 1 Lakh Mark In Q1 2023 Amid High-End Homes Demand Boost: Report

ANAROCK data says quarterly housing sales are at an all-time high in the last decade, with about 1,13,770 units sold in Q1 2023 across the top 7 cities

MMR and Pune again saw the maximum new supply, accounting for 52 per cent of the total new launches across the top 7 cities.

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The bull run in the Indian housing market continued in the first quarter of the year despite global economic headwinds, including layoffs by several large and small corporates. According to a latest ANAROCK Research data, quarterly housing sales are at an all-time high in the last decade, with about 1,13,770 units sold in Q1 2023 across the top 7 cities. This is a 14 per cent yearly rise against around 99,550 units sold back in Q1 2022.

The data stated that the two leading western markets MMR and Pune accounted for over 48 per cent of the total sales in the top 7 cities, with Pune witnessing an over 42 per cent annual jump.

New launches across the top 7 cities also breached the 1 lakh mark and witnessed 23 per cent yearly rise – from 89,140 units in Q1 2022 to over 1,09,570 units in Q1 2023. Interestingly, MMR and Pune again saw the maximum new supply, accounting for 52 per cent of the total new launches across the top 7 cities. Individually, the two cities saw 58 per cent and 34 per cent yearly increases in their new supply, respectively.

Despite spiralling new launches in this and the previous quarter, the available inventory in the top 7 cities remained almost similar at about 6.27 lakh units by Q1 2023-end. On a quarter-on-quarter (QoQ) basis, unsold stock saw a 1 per cent dip across the top 7 cities. Among the top cities, NCR saw highest decline in its unsold stock in Q1 2023 - by 22 per cent.

Anuj Puri, chairman – ANAROCK Group, said, "The residential market’s winning streak continued in the first quarter of 2023 with housing sales in top cities breaching the previous high of Q1 2022. The quarter has recorded the highest ever sales in the last decade amid significant rise in demand for high-ticket priced homes (Rs 1.5 crore)." "However, emerging headwinds could pose a challenge in the short-term," Puri said.

"Persistent inflation concerns along with another possible rate hike by the RBI in the near future could dent the housing market’s growth trajectory in the upcoming two quarters. Once the dust of the ongoing economic disruptions settles, it is likely to regain again, backed by rise in homeownership sentiment," he added.

The top 7 cities recorded new launches of around 1,09,570 units in Q1 2023 against 89,140 units in Q1 2022, increasing by 23 per cent over the previous year’s corresponding period. The key cities contributing to new launches in Q1 2023 included MMR (Mumbai Metropolitan Region), Hyderabad, Pune, and Bengaluru, together accounting for 77 per cent supply addition.