Delhi-NCR property prices rose 33% in 2022, but that didn’t affect sales: PropEquity

• The weighted average price of the homes sold in 2022 jumped by 33% as compared to 2021.
  
  
• Average price of new launches in 2022 shot up by 64% as compared to the year before.
  
  
• The share of the affordable homes stood at 39% and that of the luxury segment at 48% when sales were concerned.
  

Delhi NCR saw brisk sales of residential homes in 2022, registering an impressive 19% jump over the previous year according to a report by real estate consultancy, PropEquity.

The total sales in the region were at 32,789 units in 2022, as compared to 27,553 units in 2021.

This is in spite of the fact Delhi NCR’s weighted average price of the homes sold in 2022 jumped by a whopping 33% to ₹9,512 per square feet as compared to the year before.

In 2022, the average price of new launches shot up by 64% to ₹10,958 per square feet as compared to the year before. Even at higher prices, there is sizable demand and healthy absorption for these new launches.

“There seemed exuberance in the property market all throughout in 2022 and the momentum seems to be continuing in 2023 as well. There are new developers entering the fray in the Delhi NCR market, while existing players continue to launch new projects,” says Samir Jasuja, founder and managing director at PropEquity.

About 48% of all sales of residential property in 2022 were accounted for by the luxury segment homes – with a ticket price more than ₹1.5 crore.

“Each micro market within NCR is seeing positive traction, especially in Gurugram where developers are bringing newer offerings with enhanced features of security and lifestyle. Companies are launching properties at newer price points coupled with attractive schemes and offers which are enticing for the buyers,” said Ankush Kaul, chief business officer- Ambience Group.

However, Delhi NCR’s new launches showed a negative growth of 28% in 2022 at 15,699 units as compared to the preceding year. The inventory overhang (an estimate of the amount of time it would take to sell all of the current listings in an area, provided that there are no new listings) stood at 15 months at the end of 2022 on the basis of the current rate of sales.

With total sales being almost twice the new launches in 2022, the inventory overhang has dropped significantly. This indicates an increasing demand post-Covid, which paves the way for new launches in the coming year.

The share of luxury segment homes was the largest in both new launch and sales categories. Most of the home buyers were seen inclined more towards this segment housing in Delhi NCR.

The share of the affordable segment (ticket price less than ₹75 lakh) of houses stood at 17% and that of the luxury segment was 70% among the new launches. As far as sales are concerned, the share of the affordable category of homes stood at 39% and that of the luxury segment was 48%.