Property sale registrations in Mumbai cross 10k, up 25% y-on-y

The total registrations also touched a decadal high, crossing 1.04 lakh in the first 10 months in 2023

Mumbai

HT Image

The property sale registrations crossed more than 10,000 units for the fifth consecutive month this year, with an approximately 10,523 units registered in October, generating ₹831 crore in revenues. The total registrations also touched a decadal high, crossing 1.04 lakh in the first 10 months in 2023, according to a Knight Frank assessment on Tuesday.

In 2022, the annual property registrations had touched 1.21 lakh mark for the first time since 2013.

Though the registrations showed a 25% increase in registrations and a 15% growth in revenues year-on-year, the registrations dipped by 2% and revenues dipped by 26% month-on-month. September had recorded 10,694 registrations, and clocked a revenue of ₹1,127 crore.

Indicating a rise in luxury housing, the proportion of property registrations for properties valued at ₹1 crore and above, continued to rise from 50% in the 10 months of 2020 to 54% in 2022 and approximately 56% in 10 months of 2023, the report indicated.

Shishir Baijal, Chairman & Managing Director, Knight Frank India, “The Mumbai residential real estate market continues to demonstrate impressive resilience, consistently exceeding the threshold of 10,000 property transactions. This trend is further reinforced by the increasing prominence of properties valued at INR 1 crore and above, indicating a shifting preference towards more spacious and upscale accommodations. This shift also reflects the upward trajectory of property prices in the region and signifies the buyers & capability and willingness to make long-term commitments. Additionally, in the context of steady economic growth in the country, homebuyers are increasingly anticipating a stable interest rate environment.”

Reacting to the report, Boman Irani, President, CREDAI said, “October has witnessed another strong month of property registrations and housing sales, which is further validation of homebuyers’ positive sentiments especially amidst the ongoing festive season. Apart from this being an auspicious time to buy a house, there are also other factors that have come into play: Including consumers’ increased appetite to buy as opposed to rent, with homebuyers also opting to buy bigger homes.” He said at a macro level, the economic and job stability and a relatively stable lending environment have also contributed to this momentum.

Cyrus Mody, Founder & CEO, Viceroy Properties said available reports indicate that more than 30% of residential property transactions within the last nine months have involved luxury properties. “Several factors contribute to this upward trend, including the bolstering of purchasing power, heightened demand for luxury residences in emerging micro-markets, such as the western and central suburbs, significant infrastructural developments throughout the city, and ongoing housing society redevelopment projects. In light of the ongoing festive atmosphere, we anticipate a robust expansion in Mumbai’s real estate sector, particularly within the luxury housing segment, throughout the year.”

Lucy Roychoudhury, head of sales, marketing, and CRM of Runwal Group said, “This is a positive sign for the real estate sector and shows the rising demand for homes in the city. The current upswing is also due to the festive season and the demand spike usually associated with it. But we expect the positive sentiment to continue as the demand is coming in from domestic as well as NRI buyers.”