Page 8 - Housing Sector

Sales of homes up to Rs 50 lakh dip 16% last year; total sales 10-yr high

Sales of homes costing up to Rs 50 lakh fell 16 per cent last year to nearly 98,000 units across eight major cities due to a rise in property prices and high mortgage rate, according to Knight Frank India. Nevertheless, overall housing sales, comprising all price points, rose 5 per cent annually to 3,29,907 units during 2023 across the top eight cities -- Delhi-NCR, Mumbai Metropolitan Region (MMR), Chennai, Kolkata, Bengaluru, Pune, Hyderabad and Ahmedabad. New supply in homes costing up to Rs 50 lakh dropped 20 per cent in 2023 year-on-year. This also resulted in fall in sales of affordable homes. The overall sales reached a 10-year high, driven by higher demand in the mid-income and luxury home segments. Real estate consultant Knight Frank India on Wednesday released its report through a webinar, showing that sales of residential properties priced Rs 50 lakh and below fell to 97,983 units last year from 1,17,131 units in 2022. As a result, the share of affordable homes in total

Office space demand up 15% in top 8 cities, Bengaluru sees 14% fall: Report

Leasing of office space rose by 15 per cent across eight major cities last year, despite a decline in demand in Bengaluru, the largest workspace market, according to Knight Frank. In a webinar, real estate consultant Knight Frank India on Wednesday released its report on the Indian housing and office market. The data showed that office demand grew 15 per cent annually to 59.6 million square feet in 2023, despite global economic and geopolitical concerns. The demand was mainly driven by Global Capability Centres (GCCs), which took on lease 20.8 million square feet last year, up 58 per cent from 2022 level. Knight Frank highlighted that the total office leasing number is the second-best year with the peak level achieved in 2019 at 60.6 million square feet. According to the data for 2023, compared with the previous year, the leasing of office space in Mumbai grew 16 per cent to 7.4 million square feet. Delhi-NCR saw a 14 per cent rise in office space demand to 10.1 million square ...

Improved affordability pushes home sales in India to a new peak in 2023

In 2024, experts suggest that home affordability, as well as sales, are expected to improve further on the back of cooling inflation and the likelihood of lower interest rates

India at 14th spot in housing cost rise in Jul-Sep with 5.9% growth: Report

India jumped 18 places to 14th rank in home price appreciation globally in September quarter, with nearly 6 per cent price rise year-on-year, according to Knight Frank India. Real estate consultant Knight Frank's Global House Price Index tracks nominal and real price growth across 56 countries in local currencies. Turkiye is at number one position with an annual 89.2 per cent appreciation, followed by Croatia (13.7 per cent), Greece 11.9 per cent, Colombia 11.2 per cent and North Macedonia 11 per cent. "Annual global house prices continue to rise despite central banks' efforts to combat inflation through higher interest rates. Average annual price growth stands at 3.5 per cent, closely approaching the pre-pandemic ten-year average of 3.7 per cent," Knight Frank said. Among the 56 markets monitored, 35 experienced annual price growth, while 21 witnessed price decline. "India climbed 18 spots to 14th rank in the global house price index in Q3 2023. The price increase of 5.9 per cent

Poonawalla HF gets a new name, rebrands as Grihum Housing Finance

The global private equity firm -- TPG acquired a 99.02 per cent equity stake in the company, taking over from Poonawalla Fincorp earlier this year

India's construction sector levels up as housing demand spurs economy

The construction sector grew 13.3% in July-September from a year earlier, up from 7.9% in the previous quarter and its best performance in five quarters, the data released on Thursday showed

All-India House Price Index moderates to 3.4% in Q2FY24: RBI data

The all-India House Price Index (HPI) moderated to 3.4 per cent in the July-September quarter of 2023-24 from 4.5 per cent in the year-ago period, according to data released by the Reserve Bank of India on Thursday. The RBI releases HPI-based on transaction-level data received from the registration authorities in 10 major cities. The cities are Ahmedabad, Bengaluru, Chennai, Delhi, Jaipur, Kanpur, Kochi, Kolkata, Lucknow, and Mumbai. "All-India HPI growth (year-on-year) moderated to 3.4 per cent in Q2:2023-24 from 5.1 per cent in the previous quarter and 4.5 per cent a year ago; annual growth in HPI varied widely across the cities - ranging from the high growth of 6.5 per cent (Chennai) to a contraction of 0.2 per cent (Jaipur)," the central bank said. On a sequential (quarter-on-quarter) basis, all-India HPI contracted by 1.2 per cent in the second quarter of 2023-24; seven of the 10 cities witnessed price increase in housing registration during the latest quarter.

Thailand-based MQDC plans to develop luxury housing projects in Delhi-NCR

Thailand-based realty firm MQDC, which is present in co-working space in India, plans to develop luxury housing projects in Delhi-NCR and is in talks with local builders for joint development. MQDC India, Indian arm of Thailand-based Magnolia Quality Development Corporation (MQDC), has one operational co-working facility in South Delhi. It is launching second co-working facility 'Whizdom Club India, at Golf Course Road, Gurugram, on Friday. "We plan to develop luxury housing projects in Delhi and Gurugram. We are in talks with local developers. We are evaluating few sites," MQDC India Country Director Chulamas Jitpatima (Amy) told reporters here. She hoped that the company would be able to announce its partnership early next year with local developer. Amy expects to launch its first residential project by 2025. MQDC is also inviting Indian investors to buy flats in its various properties at Bangkok. It is showcasing its properties to HNIs (High Networth Individuals) here this ...

India saw sale of luxury homes double in first 9 months this year: CBRE

CBRE said that the home sales in the festive season this year are expected to be the highest in three years

Home sales in India this year to be 30% higher than in 2022: Colliers

Industry numbers show that home sales this year have already crossed the total sales in 2022, the consultancy said

Institutional investors betting big on Indian housing, investments up 71%

The share of domestic investors accounted for 71% of total institutional investments received in the July-September quarter: Vestian

Demand for luxury homes overtakes affordable ones for first time in India

The number of homes sold in India in July-September quarter this year touched a six-year-high: Knight Frank

Strong growth prospects for the affordable housing finance sector

The competitive intensity is high in the lender segment, with banks, small finance banks and NBFCs including both specialised HFC and non-specilaised NBFCs active in the segment

59% Indians prefer mid, high-range homes despite price rise: Anarock

Mid-range homes, priced between Rs 45 lakh and Rs 90 lakh, are the most preferred

Scheme for relief on home loan interest to be launched in September

The scheme to provide relief in interest on bank loans for those dreaming of their own house in cities will be launched in September, an official of the Union Housing and Urban Affairs ministry said on Thursday. Addressing a press conference, Minister Hardeep Singh Puri said the modalities of the scheme are being worked out. "The scheme to provide relief in interest on bank loans for those looking to own houses in cities will be launched in September," Union Housing and Urban Affairs Ministry Secretary Manoj Joshi said. During his Independence Day speech, Prime Minister Narendra Modi announced the scheme for middle-class families who live in cities but do not own a house. "Middle-class families are dreaming of their own house in cities. We will soon launch a scheme for them. "We have decided to give relief in bank loan interest by providing a help of lakhs of rupees to families living in rented houses, unauthorised colonies and shanties in cities, to build their own house," Modi h

Tax tribunal allows capital gain exemption in case of house purchase

Exemption allowed even if agreement to buy new house is signed before selling the old one: ITAT

Housing demand has power to unlock economy's potential: HDFC Bank Director

HDFC Bank Director Keki Mistry on Wednesday asserted that the demand for housing will continue in India and it has the power to unlock the potential of the economy. Speaking at the foundation day celebration of Bandhan Bank, Mistry said the housing sector also generates huge employment and has a better credit risk profile than other segments. "Housing holds the key to unlock the potential of the economy. I am optimistic about the demand for housing in India. It also generates huge employment," Mistry, vice-chairman and CEO of erstwhile HDFC said. Mortgage lender HDFC has now been merged with HDFC Bank. Mistry said the penetration level of mortgage lending is very low in the country as compared to the US or China. "Mortgage to GDP ratio is very low in India," he said. "The structural demand for housing in the country will always be strong," Mistry said, adding that "housing loans are safe and have better credit risk profile". Regarding corporate governance (CG), Mistry said the r

PHDCCI submits recommendations related to housing, banking sectors to RBI

Industry body PHDCCI has submitted several recommendations on issues related to the housing sector, banking and foreign trade to RBI Governor Shaktikanta Das. A delegation of PHDCCI led by its president Saket Dalmia met the governor and submitted the recommendations. Amidst global economic challenges and ongoing pandemic impact, the chamber made a strong case for lowering housing sector interest rates to stimulate growth. Lower rates can invigorate investments, bolster consumption, enhance competitiveness, and aid industries facing headwinds, it said. "While we understand and appreciate the efforts of the Reserve Bank of India in stabilising the economy and ensuring liquidity, we believe that a reduction in interest rates at this juncture would provide a much-needed boost to our industry," it said in the submission to Das. The chamber highlighted several issues related to the banking sector, including the rectification of export realisation purpose codes and the protection of GST

Super luxury flat sales up 50% in Mumbai , Gurgaon home sells for Rs 50 cr

Increased demand from the Non-Resident Indian segment due to the strengthening of the US Dollar

Sheltertech Summit discusses challenges in providing sustainable shelter

Habitat for Humanity, a global non-profit organisation working in the housing sector, organised the Sheltertech Summit India here on Thursday to discuss the technical challenges of creating affordable and sustainable dwellings. The meet also highlighted industry collaborations and up-and-coming sheltertech startups building affordable and sustainable housing products and services. The event organised in partnership with Villgro and ANDE-India, saw the launch of the Construction Innovation Hub (CIH) by Habitat for Humanity and Kerala Startup Mission (KSM). It served as a platform for construction value chain players like startups, building materials companies, housing finance firms, architects, engineers and others in the industry to share their sustainable construction experiences, best practices and solutions, a release here said. With increased living costs across the country and the construction sector being one of the largest contributors to carbon emissions, small and large ..