Pune collects INR 517 Cr in revenue from property registrations in Feb’ 22, rise of 40% YoY: Knight Frank India
Pune, March 24, 2023-: Knight Frank India, in its latest assessment noted that Pune district saw property sale registration of 14,284 units in February 2023, contributing over INR 517 Crores to the state revenues. The total value of properties registered in February 2023 was recorded at INR 8,896 Crores (Cr) a rise of 40% year-on-year (YoY). Further, the growth in sale of properties costing INR 50 lakh and more has witnessed its share increasing from 43% in February 2022 to 46% in February 2023. With consumer interest to go for larger properties, the share of apartments measuring 800 square feet (sq ft) or above increased from 26% in February 2022 to 28% in February 2023. Primary and secondary residential deals accounted for 71% of properties registered in February 2023.
Table: Property registrations, Value of property and Stamp duty collection
|Year||Month||Total Registration||Property Value
|Stamp Duty Collection
In February 2023 properties worth INR 8,896 Cr were registered in Pune which was a rise of 40% YoY compared to INR 6,440 Cr worth properties that were transacted in February 2022. Government revenue collection recorded substantial growth registering a 40% YoY jump on account of rise in stamp duty and property prices amongst other factors.
Sequentially the trend remained positive as total registrations climbed by 17% MoM. Total value of registered properties increased by 16% MoM, and stamp duty revenue increased by 17% MoM.
Increase in purchase of Higher Value Segment (above INR 50 lakh) in February 2023
Apartments having a value of INR 25- 50 lakhs dominated housing demand in February 2023 accounting to 36% of transactions, the share dropped from 39% in February 2022. INR 50 lakhs – INR 1 Cr accounted for 35% of market share in February 2023 making it second preferred ticket size, the demand share went up by a percentage point from 34% in February 2022 to 35% in February 2023. The share of higher value segment (INR 50 lakh and above) increased, as it rose from 43% in February 2022 to 46% in February 2023.
Share of ticket size for residential property transactions in February 2022 & 2023
|Ticket size||Share in February 2022||Share in February 2023|
|Under INR 25 lakhs||19%||18%|
|INR 25 – 50 lakhs||39%||36%|
|INR 50 lakhs – 1 Cr||34%||35%|
|INR 1 Cr – 2.5 Cr||8%||10%|
|INR 2.5 Cr – 5 Cr||1%||1%|
|Over 5 Cr||0%||0%|
Higher demand of larger apartments sustains
Housing demand for apartments with an area of 500-800 sq ft accounted for almost half the property transactions in February 2023. The share fell from 49% in February 2022 to 47% in February 2023. Under 500 sq ft homes account for 25% of transactions in February 2023 making it the second most preferred apartment size. The share of over 800 sq ft apartment area increased from 25% in February 2022 to 28% in February 2023.
Share of area for residential property transactions in February 2022 & 2023
|Area in sq ft||Share in February 2022||Share in February 2023|
In February 2023, demand for apartments under 800 sq ft dominated the Central and West Pune market. The market for over 2,000 sq ft carpet area is largely present in East and west Pune. Demand for apartments in North Pune is majorly concentrated below 800 sq ft.
Micro market wise demand for apartment area in February 2023
|Zone||Up to 500 sq ft||500-800 sq ft||800-1000 sq ft||1000-2000 sq ft||over 2000 sq ft||Total|
Shishir Baijal, Chairman and Managing Director, Knight Frank India said, “The residential market of Pune has shown remarkable resilience in the face of rising interest rates and continues to be dominated by the end-user segment. Despite numerous repo rate hikes and the implementation of the metro cess, home purchases in the city continues to remain strong. The ongoing infrastructural improvements and abundance of job possibilities remains supportive of the city’s housing market.”
Central Pune accounted for 79% of total residential transactions in February 2023
Central Pune, comprising of Haveli Taluka, Pune Municipal Corporation (PMC), and Pimpri Chinchwad Municipal Corporation (PCMC), continued to have the greatest percentage of residential transactions, with a total share of 79% in February 2023, unchanged from same period last year. West Pune accounted for 13% of transactions in February 2023, holding the second biggest share covering areas such as Mawal, Mulshi, and Velhe.
North, South, and East held a smaller share of residential transactions accounting for 8% of total share in February 2023.
Share of micro markets for residential property transactions in February 2022 & 2023
|Micro market||Share in February 2022||Share in February 2023|
|Micro market mapping|
|North||Junnar, Ambegaon, Khed|
|South||Bhor, Purandhar, Baramati, Indapur|
|West||Mawal, Mulshi, Velhe|
|Central||Haveli, Pune city (Pune Municipal corporation (PMC) & Pimpri Chinchwad Municipal Corporation (PCMC))|
72% of homebuyers are from Pune Region
More than half the home buyers are located within the Pune region accounting for 72% of the demand. Homebuyers from neighbouring regions like Aurangabad accounted for 12% and Mumbai and Navi Mumbai regions jointly accounted for 7% of the market demand.
Location of home buyers in February 2023
|Buyer location||Share in February 2023|
|Navi Mumbai Region|
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