Average apartment sale price in India reached Rs 1.64 crore this year: JLL

The first nine months of 2024 saw 2.3 lakh homes being sold in India, valued at Rs 3.8 trillion, with the average sale price of Rs 1.64 crore per apartment primarily fueled by premium projects, especially in Delhi NCR,  said global real estate consultancy firm JLL on Wednesday. 

 

 Among the top cities, Delhi NCR led in sales value, while Bengaluru came second in terms of area sold. While Mumbai's high per square foot price led in sales value, Bengaluru's larger homes contributed to its higher volume of space sold. 

 

Moreover, India’s housing market is set to hit an all-time high in 2024, with an estimated Rs 5.1 trillion worth of homes across the top seven cities expected to be sold, according to JLL. This would mark a record year, with 3 lakh homes totaling 485 million square feet slated for sale. The ongoing post-Covid recovery has driven consistent sales growth, reaching 2.7 lakh homes in 2023.

 

“With capital values surging and being at an all-time high, close to Rs 380,000 crore worth of homes have already been sold across the top seven cities in the first 9 months of 2024, taking the average sale value of an apartment to Rs 1.64 crore. This was primarily driven by premium housing projects recording robust sales during the year, especially in Delhi NCR” said Dr Samantak Das, chief economist and head of research and REIS, India, JLL.

 

The first three quarters of 2024 (January to September) saw sales of over Rs 110,00 crore each with over 115 million sq. ft sold in every quarter. Most of the prominent national level developers have already met their expected annual sales guidance within the nine-month period, highlighting strong housing demand.

 

During the first nine months 2024 (January – September), Delhi NCR led in terms of sales value and area sold, this indicates a higher demand for larger and premium homes in the region. Close to 90 million sq. ft valued at over Rs 120,000 crore across 39,322 housing units were sold in NCR during Jan-Sep 2024 period.

 

 Delhi NCR’s housing sales in the nine months (January – September) 2024 period have already surpassed the city’s last year’s annual sales. In terms of value of homes sold, Mumbai followed NCR while in terms of area sold Bengaluru stood second. This clearly indicates that while apartments are on smaller size in Mumbai, the per sq-ft realization is significantly higher, while Bengaluru offers more spacious homes. 

 

 “During the year, real estate developers continued to acquire strategic land parcels across the metro cities for proposed residential development, thus the housing supply for 2025 across the top seven cities is expected to remain robust. Demand is expected to remain strong too. With sales anticipated to go up, capital values too will rise, eventually pulling up the area and overall value of homes to be sold,” said Siva Krishnan, senior managing director (Chennai & Coimbatore), head – residential services, India, JLL.

 

With the festive season coinciding with the fourth quarter and housing demand expected to remain strong, JLL expect sales for the Oct-Dec 2024 quarter to potentially match or exceed the trailing three-quarter average of over 75,000 units, taking the full year sales to approx. 305,000 units. With this the sales realization value is expected to touch  Rs 510,000 crore for 485 million sq-ft of area likely to be sold for full year 2024.