India’s residential real estate market reached a historic milestone in 2024, recording 302,867 unit sales — an 11% year-on-year growth, according to JLL’s latest report. This surge marks a 63% increase in annual sales for the post-pandemic period (2022-2024) compared to the average of the previous decade (2010-2019), reflecting a strong post-COVID shift toward homeownership across price segments, despite rising property costs.

Key Contributors

Bengaluru, Mumbai, and Pune emerged as key contributors, accounting for 62% of the total sales across the top seven cities. Demand in Bengaluru and Pune has been fueled by the expanding tech sector and favorable weather, while Mumbai’s growth is driven by improved connectivity and redevelopment projects. The report highlights renewed investor confidence and positive long-term prospects for the residential market in these cities.

For the first time, apartments priced above Rs 1 crore comprised over 50% of annual sales, signaling a growing demand for premium homes. The luxury segment (Rs 5 crore and above) saw an 80% rise in sales, while the premium category (Rs 3-5 crore) recorded 86% growth compared to 2023, driven by rising disposable incomes, evolving preferences for larger, tech-enabled homes, and a surge in high-net-worth individuals.

Dr. Samantak Das, Chief Economist and Head of Research and REIS, JLL India, noted that buyers are increasingly willing to pay a premium for quality homes, resulting in a notable shift toward high-value properties.

Demand For Premium Housing Remains Strong

Despite a slight 3% dip in Q4 sales at 72,930 units, demand for premium housing remained strong, contributing 14% of quarterly sales. New launches also gained momentum, with a 30% year-on-year increase, underscoring growing buyer confidence. Developers have kept pace with demand, pushing total residential supply beyond 300,000 units for 2024 — a 47% increase in average annual launches compared to the previous decade.

“The focus on premium and luxury projects has been evident, with launches in these segments rising by 101% and 68% respectively,” said Siva Krishnan, Senior Managing Director, Residential Services, JLL India.

With robust sales and strong supply growth, 2024 marks a landmark year for India’s residential real estate sector, setting new benchmarks in value-driven housing demand.