Housing sales in top 30 Tier 2 Cities rise 11% in FY2024: PropEquity
New Delhi, July 05th, 2024: Housing sales across top 30 Tier II cities increased 11 per cent annually to nearly 2.08 lakh units during the last fiscal year on high consumer demand driven by robust economic growth, infrastructure development and growing desire for home ownership, according to data analytics firm PropEquity.
In its extensive research, PropEquity, which is listed on the stock exchanges, found out that the growth in demand for residential properties is not restricted to top seven major cities.
As per the data, the sales of housing units in India’s 30 major tier II cities stood at 2,07,896 units in 2023-24 as against 1,86,951 units in the preceding financial year.
Interestingly, the data showed that out of these 30 cities, the top 10 cities contributed 80 per cent to the total sales.
West zone accounted for nearly 70 per cent to the total sales in 30 tier II cities. Major Cities falling in the state of Gujarat saw huge demand.
PropEquity tracks over 1,70,000+ projects of 57,000 developers across 45 cities in the country.
Commenting upon the data, Mr. Samir Jasuja, Founder and Managing Director at PropEquity said, “Tier II cities performed better than Tier I cities due to lower property prices and growth potential. On the other hand, Affordability makes the dream of owning a home a reality for a growing middle class. Furthermore, these cities are also experiencing economic booms due to setting up of small and medium enterprises (SME) businesses and industries. Government push on infrastructure creation is another major reason for rising demand in Tier II cities. All these factors are creating a bullish investment.”
Top 10 tier II cities – Ahmedabad, Vadodara, Surat, Nashik, Gandhi Nagar, Jaipur, Nagpur, Bhubaneshwar, Visakhapatnam, and Mohali – reported sales of 1,68,998 residential units in 2023-24, up 11% from 1,51,706 homes in 2022-23.
Housing sales in West Zone- Ahmedabad, Vadodara, Surat, Nashik, Gandhi Nagar, Nagpur, and Goa- reported sales of 1,44,269 residential units in 2023-24, up 11% from 1,29,423 homes in 2022-23.
Housing sales in North Zone – Jaipur, Mohali, Lucknow, Bhopal, Chandigarh, Dehradun, Bhiwadi, Ludhiana, Agra, Sonepat, Panipat, and Amritsar- reported sales of 26,308 residential units in 2023-24, up 8% from 24,273 homes in 2022-23.
Housing sales in South Zone – Visakhapatnam, Trivandrum, Coimbatore, Kochi, Vijayawada, Mangalore, Guntur and Mysore – reported sales of 21,947residential units in 2023-24, up 8.4% from 20,244 homes in 2022-23.
