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India Housing Sales Surge 8% in Q2 2023: Real Insight Residential Report

India Housing Sales Surge 8% in Q2 2023: Real Insight Residential Report India's residential real estate sector continued its upward trajectory in the April June quarter of 2023, with both housing sales and new supply registering strong year-on-year growth across the country's eight major property markets. According to the Real Insight Residential April-June 2023 report a quarterly analysis of India's top eight residential markets published by REA India a total of 80,250 residential units were sold during Q2 2023, compared to 74,320 units in the corresponding period of the previous year, reflecting a robust 8% year-on-year increase . On the supply side, developers collectively launched 1,13,770 new units in the same quarter up 11% from the 1,02,140 units introduced in Q2 2022 signalling sustained builder confidence and healthy demand visibility across most markets. The markets covered in this report span Ahmedabad, Bengaluru, Chennai, Hyderabad, Kolkata, the Mumbai Metropolitan Region (MMR), Delhi-NCR, and Pune. Market Overview: Q2 2023 at a Glance Metric Q2 2023 Q2 2022 YoY Change Total Units Sold 80,250 74,320 +8% New Units Launched 1,13,770 1,02,140 +11% Semi-Annual Sales Growth +15% Semi-Annual Supply Growth +43% Source: Real Insight Residential April-June 2023, REA India Mumbai and Pune Dominate Market Share Western India's two largest property markets Mumbai Metropolitan Region and Pune continued to lead the pack in Q2 2023. Together, these two cities accounted for a combined 61% share of total housing sales across the eight markets studied, underscoring the sustained dominance of western India in the country's residential real estate landscape. Key demand hotspots within these cities included Thane West and Dombivali in the Mumbai Metropolitan Region, and Charholi Budruk and Hadapsar in Pune. In terms of new supply, Mumbai maintained its position as the frontrunner in launch volumes, followed by Pune and Ahmedabad. Sales Breakdown by Property Type & Price Range Of the total units sold during Q2 2023: 15% of the transacted units were in the ready-to-move-in category 85% were under-construction properties, indicating strong buyer confidence in future delivery In terms of ticket size distribution: The ₹45 75 lakh price band was the most popular, accounting for 27% of overall sales The above ₹1 crore segment came in second, contributing 25% of total transactions This spread reflects a dual demand dynamic a large base of mid-income buyers alongside growing appetite for premium and luxury housing. New Supply Breakdown by Price Range Among the new residential units launched in Q2 2023: The ₹45 75 lakh bracket dominated new launches with the highest share of 33% The above ₹1 crore category accounted for a significant 29% of all new introductions This pattern suggests that developers are increasingly calibrating their offerings to meet both mid-segment and premium demand simultaneously. Expert Commentary Vikas Wadhawan, Group CFO of REA India and Business Head of the real estate research division, noted that India's top eight residential markets continue to advance on a growth path, with the Reserve Bank of India's decision to hold its key lending rate steady playing an important role in maintaining positive buyer sentiment. He also pointed out that the key drivers of housing demand over the past two years have included pent-up demand carried forward from the Covid-affected period, a growing desire for homeownership, economic revival post-pandemic, and evolving preferences for more spacious living environments. He expressed confidence that the upward momentum would be sustained, potentially making 2023 an even stronger year for sales than 2022. Ankita Sood, Head of Research at REA India, observed that the strength in the western markets continues to be anchored by robust end-user demand. She noted that buyers in Mumbai and Pune are primarily driven by the desire for improved amenities and a superior lifestyle a trend that is likely to keep these two markets at the forefront of national residential activity for the foreseeable future. Markets Covered in the Report The analysis covers the following eight cities and their respective sub-markets: Ahmedabad Bengaluru Chennai Hyderabad Kolkata Delhi-NCR comprising Gurugram, Noida, Greater Noida, Ghaziabad, and Faridabad Mumbai Metropolitan Region (MMR) comprising Mumbai, Navi Mumbai, and Thane Pune