In 2024, the real estate market in India is projected to sustain its remarkable growth despite global economic challenges like inflation and rising capital costs. Property rates are anticipated to surge by 10-15%, driven by escalating building material costs and steady homebuyer demand.
The prevailing trend toward homeownership is expected to drive demand for affordable properties, especially spacious 2BHK and 2BHK+ homes. Additionally, the luxury housing segment will see increased interest from High Net Worth Individuals (HNIs) and Non-Resident Indians (NRIs) eyeing larger, tech-integrated 3BHK, 3BHK+, and 4BHK homes.
Tier-1 cities such as Mumbai, Delhi, Bangalore, and others are set for a surge in residential demand due to the return of young professionals to offices located in central business districts. Similarly, tier-2 cities like Ahmedabad, Chandigarh, and Lucknow are expected to experience a rise in demand due to infrastructural growth and as viable alternatives to congested metros.
On the commercial front, the demand is expected to match or surpass the leasing records set in 2022. Despite geopolitical tensions and inflation, the office market witnessed healthy leasing activity in 2023. Flex spaces, engineering, manufacturing, and BFSI sectors contributed significantly to the office leasing market, with flex spaces anticipated to strengthen their presence in occupiers' portfolios.
A Colliers report predicts a strong closure for 2023, with continued momentum and an anticipated gross absorption of around 50 mn sq ft, on par or better than the historic performance of 2022.
© 2023 Rera News. All rights reserved.