Major Real Estate Markets in Metro Cities across India: Report by ANAROCK Property Consultants
Indian real estate sector has consolidated over the last few years and developers have started following rules set under RERA in different states. As there were small issues with acceptance of RERA, the latest project launches are compliant and developers are moving ahead with better documentation, project progress and financing options for their approved projects.
A review of micro-markets in major Indian cities by ANAROCK Property Consultants follows....
Property Sizes - North & South Markets Outsize the West
Further analysis of the top 10 most active micro-markets reveals that new launch supply in the western cities of MMR and Pune was notably of smaller-sized units. For instance, the average property size in these cities' micro-markets was as low as 500 sq. ft. (Badlapur) while the maximum went up to 685 sq. ft. (Hinjewadi).
The average size of properties launched in Hyderabad’s Kondapur was almost triple at 1,630 sq. ft. Similarly, average property sizes of units launched in Bangalore’s Sarjapur Road and Electronic City were 1,305 sq. ft. and 1,140 sq. ft. respectively. NCR’s New Gurgaon and Sohna also saw newly launched units with average sizes of 1,532 sq. ft. and 1,233 sq. ft. respectively.
Price Rises - Bangalore’s Electronic City Tops Out
In a period of three years, the average property prices in the top 10 most active micro-markets also increased. Bangalore’s Electronic City saw average prices increase by 11% in 2019 as compared to 2016. The current average price in this locality is INR 4,365 per sq. ft. Given the overall slowdown post the triple tsunami of DeMo, RERA, GST since 2016-end onwards, this price rise is remarkable.
NCR’s New Gurgaon was the only market among the top 10 that saw prices decline in the 3-year period - average property prices fell by 6%.
MMR’s Panvel saw a 9% jump in average property prices in this period – from INR 5,680 per sq. ft. in 2016 to INR 6,170 per sq. ft. in 2019.
Hyderabad's Kondapur and MMR's Badlapur each saw a 5% price rise - from INR 4,353 per sq. ft. and INR 3,588 per sq. ft. in 2016-end to INR 4,590 per sq. ft. and INR 3,770 per sq. ft. currently.
Bangalore’s Sarjapur Road saw average property prices increase by 3% to INR 5,844 per sq. ft. in 2019, from INR 5,655 per sq. ft. in 2016-end.
Dombivli, Sohna and Mahalunge each saw a 2% price rise during the period - from INR 6,444 per sq. ft., INR 3,971 per sq. ft. and INR 5,545 per sq. ft. to the current INR 6,597 per sq. ft., INR 4,065 per sq. ft. and INR 5,657 per sq. ft.
Pune's Hinjewadi saw a mere 1% jump in prices over three years - from INR 5,718 per sq. ft. in 2016-end to INR 5,793 per sq. ft. in 2019.