Housing sales up 7% in 2024 across top 8 cities at 350K units: Knight Frank

Housing sales rose 7 per cent annually in 2024 across eight major cities to reach 12-year high at 350,613 units on better demand for premium homes amid stable mortgage rates and strong economic growth, according to Knight Frank.

Last month, real estate consultant Anarock had reported that housing sales declined 4 per cent in 2024 to nearly 460,000 units across seven major cities.

In a virtual conference on Tuesday, property consultant Knight Frank India Chairman and Managing Director Shishir Baijal noted that the Indian housing market saw a strong demand for homes priced between Rs 2-5 crore each.

Hyderabad and Pune reached an all-time highs and Mumbai recorded a 13-year peak.

"The higher ticket size segments drove momentum despite concerns of overheating, with the Rs 2-5 crore category witnessing an 85 per cent annual growth, although the sub-Rs 50 lakh and Rs 50 lakh-1 crore segments saw declining or fatigued sales," the consultant said.

Baijal said 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," he added.

Baijal said 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.

The consultant tracks Mumbai, National Capital Region (NCR), Bengaluru, Hyderabad, Chennai, Pune, Ahmedabad and Kolkata markets.