The real estate industry in India will ride favourable growth factors to enjoy double-digit growth in 2023. Particularly, the realty sector in Mumbai looks in good shape, and is likely to drive the growth in the country.
The National Vice President of NAREDCO believes that the Indian real estate sector will continue to be on its growth trajectory in 2023. In 2022 as well, the industry showed double-digit growth, and that trend will continue in the current year. Despite inflation and a spike in interest rates of home loans, investors are keen to purchase properties in India.
In 2022, 308,940 residential units were sold in India. This was higher than the figures in 2021 by 50%, when the year recorded sales of 205,900 units. In 2022, the sales figures touched the same high as in 2014.
Real estate developers are keen to launch new projects in the country. In 2022, property sales in the leading seven metros in India increased by 42%. In 2021, 278,650 units were sold in these cities, while the figure jumped to 402,000 in 2022. Since demonetization, 2022 also recorded the largest number of residential properties being launched in India. Estimates reveal that this growth trajectory is likely to continue in 2023. The number of new launches will grow by around 35% to reach more than 544,000 units in the current year.
Currently, real estate builders are completing most of the projects that they had launched previously across the cities. Mumbai has witnessed significant growth in the real estate industry. The ongoing metro projects and other infrastructural developments in the city have shaped the industry significantly. Experts believe that the opening up of new micro-markets in the city will further benefit the industry.
Presently, as many as eight metro lines in the Greater Mumbai region are under construction. Once these lines become operational, residents in Navi Mumbai and other areas would gain faster access to the central parts of the city. New micro markets along these routes will further streamline the industry. Evidently, these developments will further strengthen the country’s real estate industry in the coming years.
