India's housing market is demonstrating resilience despite challenges such as rising property prices and a slight slowdown in sales during the third quarter of 2024. A report by JLL highlights the strong performance of the sector, with Bengaluru and Mumbai leading the way.

Sales Remain Robust

In the first nine months of 2024, housing sales reached an impressive 2.29 lakh units, a 17% increase year-on-year. This strong performance underscores the continued demand for housing across major Indian cities.

Bengaluru and Mumbai: The Top Performers

Bengaluru and Mumbai accounted for 44% of the total sales, highlighting their position as key real estate markets in India. The luxury and premium segments in these cities witnessed particularly strong demand, driven by changing lifestyle preferences and rising disposable incomes.

Record New Launches

The first nine months of 2024 also saw a record number of new launches, reaching 2.28 lakh units. This healthy pipeline of new projects indicates the confidence of developers in the market's future.

Factors Contributing to Market Resilience:

• Strong Economic Fundamentals: India's robust economic growth is supporting the real estate sector.

• Favorable Demographics: A growing middle class and increasing urbanization are driving housing demand.

• Evolving Preferences: Changing lifestyle preferences, particularly after the pandemic, are fueling demand for larger and more luxurious homes.

• Positive Consumer Sentiment: Despite some concerns about rising prices, consumer sentiment towards real estate remains positive.

Expert Insights:

• Samantak Das, Chief Economist and Head of Research and REIS, India, JLL: Highlights the strong sales traction and revival of buyer confidence in the market.

• Siva Krishnan, Senior Managing Director (Chennai & Coimbatore), Head - Residential Services, India, JLL: Attributes the surge in demand for premium and luxury segments to rising disposable incomes and changing lifestyle preferences.

Conclusion:

The Indian housing market is demonstrating resilience and continued growth despite some headwinds. The strong sales figures, record new launches, and positive outlook for the remainder of 2024 indicate a healthy and dynamic market. The increasing demand for luxury and premium housing reflects the evolving preferences of Indian homebuyers and the growing affordability of high-end properties.