Residential sales at 12-yr high, Rs 2-5 crore homes see 82% growth in 2024

Mumbai contributed 27% to overall residential sales volume, Bengaluru leads in residential price growth at 12% YoY

Annual property sales have hit a 12-year high, with 350,613 units being sold across India's top eight markets of the country in 2024, revealed  Knight Frank India’s latest report, “India Real Estate: Residential and Office (July - December 2024). This growth is driven by strong demand and a strategic shift towards higher ticket-size properties, despite some segments showing signs of fatigue. The top eight cities include Mumbai, Delhi NCR, Bengaluru, Pune, Hyderabad, Ahmedabad, Kolkata and Chennai. 

 

Key Highlights

• Sales Performance: Residential sales increased by 7% year-on-year (YoY), with Hyderabad and Pune reaching all-time highs. Mumbai led the charge with 96,187 units sold, marking a 13-year peak and contributing 27% to total sales.

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Market Dynamics: Higher-end segments (Rs 20 - 50 million) saw an 85% YoY growth, while lower segments (<Rs 5 million and Rs 5-10 million) faced declining sales.

 

Launches and Market Health: Residential launches rose by 6% YoY, totaling 372,936 units, with a significant improvement in the quarters-to-sell (QTS) ratio, signaling robust sales momentum.

 

Price Appreciation: Prices appreciated across markets, with Bengaluru experiencing the highest growth at 12% YoY.

 

"The residential market has had a tremendous run since 2020 with 2024 sales volumes culminating in a 12-year high. The premiumisation trend has intensified as the market continues to shift toward the higher ticket-sizes with products much better suited to the increasing lifestyle needs of the demanding consumer. The overall improvement in market health metrics, stable economic and interest rate scenario along with the still strong momentum hold enough tailwinds for the market as it steps into the new year," said Shishir Baijal, Chairman & Managing Director, Knight Frank India. 

 

Segment-Specific Performance

The report highlights distinct trends across various price segments:

 

• Below Rs 5 million: This segment saw a 9% drop in sales volume, constituting 25% of total sales. Mumbai accounted for nearly half of this segment’s sales.
• Rs 5-10 million: Despite a decline in sales by 10% YoY, this category remains the most active, with Pune leading in sales.
• Rs 10-20 million: This segment recorded robust performance, comprising 26% of total sales, driven predominantly by Bengaluru.
• Rs 20-50 million: A standout category with an 82% growth YoY, indicating a strong appetite for mid-luxury properties.
• Premium and Ultra-Premium Segments: The Rs 10-100 million category has witnessed a 46% increase YoY, with demand for homes priced above Rs 200 million growing significantly. 

Over the last five years, demand for homes priced at Rs 1 crore and above) grew substantially. Sales in this segment tripled from over 45,000 units in 2019 across the top eight markets to more than 153,000 units in 2024.

 

The most notable growth occurred in the Rs 1–10 crore category, which registered a 46% year-on-year (YoY) increase and a nearly 500% rise since 2019. 

 

Similarly, the Rs 2–5 crore segment experienced a remarkable 400% growth between 2019 and 2024, with an annual increase of 82% in 2024 alone. 

 

While the sales volumes in premium segments remain relatively smaller, the demand for homes priced above Rs 20 crore has also risen significantly, recording a 270% increase since 2019. This category maintained consistent sales volumes over the past two years, with approximately 400 units sold annually across the top eight markets, highlighting the growing appetite for premium and ultra - premium residences.

 

Sales Trends as per Price Category

 

Below Rs 50 lakh

The ticket size segment constituted 25% of the overall sales volume, recording sales of 89,040 units in 2024. This segment saw a marginal drop in sales volume by 9% from 97,983 units in 2023. With sales volume of 41,464 units, 47% of the sales in this price segment was attributed by Mumbai’s residential market. 

 

Rs 50 lakh to Rs 1 crore –ticket-size category with highest sales traction

Despite annual sales decline of 10%YoY, Rs 5-10 mn witnessed the highest traction with residential sales of 1,08,363 units in the country. The segment constituted 31% of the overall residential sales volume across eight markets in the country. Pune emerged as the largest market for this segment with sales of 23,798 units in 2024. 

 

Rs 1-2crore– second highest segment in terms of annual sales volume 

About 26% of sales volume were attributed in the ticket size of INR 10-20 mn in 2024, recording residential sales of 90,814 units. Bengaluru accounted for 45% of this segment’s sales with 19, 144 units in 2024. 

INR 20-50 mn – an emerging ticket size segment with sales volume nearly touching 50K mark. This ticket size segment witnessed its sales volumes expanding from 27,149 units in 2023 to 49,398 units in 2024, registering a growth of 82% YoY. The segment has attributed 14% of the overall sales volume across eight markets. NCR accounted for 38% or 18,997 of the units sold in this segment in 2024. 

 

Rs 5-10 crore – crosses 11K sales volume for the first time 

The sales volume has increased by 46% from 7,795 units in 2023 to 11,362 units in 2024. This is the first year since 2018 that both H1 and H2 have recorded sales volume of above 5K units, highest for any half-yearly period till date surpassing the previous best of 4,463 units in H2 2023.  NCR accounted for 60% to this segment with sales volume of 7,361 units. 

 

Rs 10-20 crore

The sale volume increased by 53% from 811 units in 2023 to 1,240 units in 2024. NCR (397 units), Mumbai (360 units) and Hyderabad (314 units) were the leading residential markets in the segment. 

INR 200-500 mn – segment with highest growth of 84%, Mumbai was the largest market.

 

Though at a lower volume base, it is interesting to note that sales in the segment have increased substantially by 85%, highest for any segment. This segment recorded sales of 245 units in 2024 from 133 units in 2023. Nearly 78% of the sales in this segment were contributed by Mumbai residential market with sales volume of 192 units. 

 

Above Rs 50 crore

This segment witnessed sales of 150 units of the total units 101 units were sold in Mumbai constituting 67% of the total while the remaining 33% were accounted for by NCR. 

City-wise Breakdown of Sales

 

 

Price appreciation:

Bengaluru recorded the highest residential price increase in 2024, with average prices seeing a 12% YoY, followed by Hyderabad and Chennai at 8% and 7%, respectively. Mumbai, meanwhile, recorded its highest price per sq ft in the past 12 years, reaching Rs 8,277.