Affordable Housing Sales At 10 Year High: The year 2023 may see strong demand for luxury homes in the housing sector. But there has been a huge decline in the sales of houses priced below Rs 50 lakh in 8 big cities of the country. According to the report of Knight Frank India, the sales of 117,131 housing units priced below Rs 50 lakh were seen in 2022, which declined by 16 percent to 97,983 units in 2023. According to Knight Frank India, during the year 2023, there has been a decline in demand for houses worth less than Rs 50 lakh due to increase in home loan interest rates, rise in property prices and the impact of Corona on the home buying category of this segment.
According to Knight Frank India, the share of sales of houses worth less than Rs 50 lakh in total housing sales has declined from 54 percent in 2018 to 30 percent in 2023. In Bengaluru, the demand for affordable segment homes has decreased the most by 46 percent.
While a total of 15,205 housing units of this segment were sold in 2022, it has reduced to 8,141 units in 2023. Demand has decreased by 44 percent in Delhi NCR. 13,290 units were sold in 2022, which has reduced to 7487 units in 2023. In Mumbai, 41,595 affordable segment units were sold in 2022, which has come down to 39,093 units in 2023.
According to the report of Knight Frank India, In the year 2023, housing sales have broken the record of 10 years. A total of 329097 housing units have been sold with an increase of 5 percent in 2023. Whereas in 2023, developers have launched a total of 350746 new housing units in 8 major cities, which is 7 percent more than in 2022.
Shishir Baijal, Chairman and MD, Knight Frank India, said, due to the trend towards expensive properties, the residential market has achieved good growth in 2023 also. He said that due to the strong economic foundation of the country, the confidence of buyers to invest for the long term has increased.
According to the report, the highest residential sales have been seen in Mumbai and it has increased by 2 percent to 86,871 units which was 85,169 units in 2022. Sales in Delhi-NCR increased by 3 percent to 60,002 units, compared to 58,460 units last year.
