Pune’s residential real estate market saw the best sales since 2013 despite a 7 % YoY rise in prices, mentioned property consultant Knight Frank’s half-yearly report – India Real Estate, July – December 2022. Pune’s residential market recorded sales volume of 43,410 units in CY2022, seeing a growth of 17% YoY.
According to the report, homebuyers’ outlook remained optimistic despite consecutive mortgage rate hikes and additional 1% metro cess which affected the consumers’ purchasing capacity. However, the annual launches in Pune witnessed a marginal decline of 5% YoY accounting to 38,640 units.
The report pointed out that Pune saw half yearly sales of 21,613 units recording 9% YoY growth in H2 2022. Sales volumes in H2 2022 were concentrated mainly in south, east and west zones of Pune, having a share contribution of 32%, 28% and 23% respectively.
Residential sales of ticket size worth Rs 50 lakh to Rs 1 crore recorded improvement going from 40% in H1 2021 to 45% in H2 2022 in Pune while residential sales of less than Rs 50 lakh ticket size recorded a decline in share from 52% in H2 2021 to 46% in H2 2022. This change in share contribution can be owing to an overall rise in the price of products. Properties greater than Rs 1 crore also recorded an increase in share take up from 8% in H1 2022 to 9% H2 2022.
Vilas P Menon, national director – occupier services, capital markets and branch head – Pune at Knight Frank India said, “The Pune residential market has recorded substantial growth over the last 2 years. With the return-to-office trend catching up, residential spaces near key employment are expected to see a rise in sales momentum. Even while Pune is a price sensitive market for residential properties as it is largely end user drive, the recent rise in demand is based on consumer confidence, financial consistency and overall economic growth.”
Rajendra Pate, President, NAREDCO-Pune, said, “Pune’s real estate market has again shown its dominance in 2022 as demand surged considerably post the pandemic. The housing demand has sustained in Pune on the back of several factors like high rentals, opportunities in the job market and relatively affordable homes than other markets.”
