Continuing on the path of resilience and overall growth, India’s residential demand increased 14.2% and supply grew 1.9% YoY observed Magicbricks’ PropIndex Report for January-March 2023. According to the report, after recording a marginal decline of 2.5% last quarter, residential demand (searches) increased 3.2% QoQled by Ahmedabad (21.4%), Bengaluru (10.3%), and Pune (7%).

The report also observed that while the pan India residential supply increased 1.9% YoY, it recorded a marginal decline of 0.9% QoQ as new project launches slowed down, and the focus is on selling existing inventory. However, cities including Noida (20.8%) and Greater Noida (17.6%) demonstrated an increase in residential supply (QoQ). As a result of the demand and supply mismatch, the average pan-India property rate increased by 13.9% YoY and 2.3% QoQ.

The report further observed that the pan-India average rates of ready-to-move-in properties increased 9.3% YoY, and average prices of under-construction properties increased 15.3% YoY.

City-wise Highlights
Ahmedabad
● Residential demand (searches) recorded a whopping 21.4% QoQ increase.
● Residential supply increased by 1.4% QoQ
● Average property rates spiked by 1.4% QoQ

Bengaluru
● Residential demand in Bengaluru observed an increase of 10.3% QoQ
● There was a dip of 1.1% QoQ in supply (active listings)
● The average property rate witnessed a growth of 2.5% QoQ
● Demand for 2BHK and above dominated the market with 86%

Chennai
● Residential demand in Chennai increased by 6.5% QoQ
● There was a decrease in supply (listings) by 2.3% QoQ
● The average property rate for the city dipped by 4% QoQ
● The demand for 3BHKs increased to 45% from 40% in the previous quarter, while 2BHKs saw a QoQ dip from 47% to 43%

New Delhi
● Delhi observed a decline of 12.8% QoQ in residential demand (searches)
● The city’s supply (listings) witnessed a dip by 5.9% QoQ
● The average property rate in the city also recorded a QoQ surge of 2.8%
● Dwarka and Greater Kailash emerged as the most-preferred micro localities for home seekers

Gurugram
● The residential market of Gurugram witnessed a marginal decline of 1.9% QoQ
● The residential supply (listings) increased by 2.4% QoQ
● The average property rate in the city observed an increase by 9.3% QoQ
● The demand share of premium properties (>INR10,000psf) increased to 26% from 18% in the previous quarter. .Supply in the segment also witnessed an increase of 7% during the same period

Hyderabad
● Hyderabad’s residential market witnessed a QoQ increase of 6% in demand (searches)
● The supply (active listing) declined by 14.2% QoQ
● The city’s average property rate surged by 5.8% QoQ
● About 90% of the homebuyers searched for 2 and 3 BHK units. The demand for compact 1BHKs and larger than 3BHKs remained low.

Kolkata
● During this quarter, residential demand (searches) in Kolkata increased by 6.5% QoQ
● The supply (listings) witnessed an increase of 1.3% QoQ
● Average property rates witnessed a growth of 1% QoQ

Mumbai
● The city’s residential demand (searches) in witnessed a dip by 2.4% QoQ
● The supply (listings) witnessed an increase of 0.8% QoQ
● Average property rates witnessed a growth of 2.2% QoQ

Pune
● During this quarter, residential demand (searches) in Pune increased by 7% QoQ
● The supply (listings) witnessed an increase of 1.8% QoQ
● Average property rates witnessed a growth of 0.2% QoQ