Pune, 27th December 2023: Amidst the anticipation and fervor to embrace the forthcoming year, 2023 has proven to be an exceptional period for Pune’s real estate domain. According to CREDAI Pune Metro, Pune stands out as the most affordable and sought-after real estate market among India’s metro cities. Markedly recovered from the aftermath of the pandemic, the city’s real estate market is poised for continued prosperity.
Ranjit Naiknavare, President of CREDAI Pune Metro, accentuated Pune’s ascent as the fastest-growing metropolis with an enviable quality of life. Statistically, Pune outshines other major cities in the sales of residential and commercial projects, distinguishing itself as the swiftest-growing and most economical real estate market in the country. Notably, Pune boasts an unsold stock of less than 15%, representing the healthiest balance nationwide. Annually, Pune’s district records the highest sales figures in India, averaging between 80,000 to 90,000 new units, excluding resale properties. Factors such as competitive pricing, comfortable living conditions, and burgeoning infrastructure development position Pune as one of the most favored and affordable cities for establishing a permanent residence.
The housing market in Pune witnessed a remarkable surge in the first half of 2023, with over 45,000 units sold, accumulating a staggering revenue of over Rs 20,000 crore, showcasing a whopping 90% growth compared to 2019. The average price of a housing unit surged to Rs 63 lakhs in 2023, marking a 37% increase from the corresponding figure in 2019. Moreover, a notable 40% growth in sales, amounting to 45,162 houses, was observed in H1 of 2023 compared to 2019, reinforcing Pune’s status as the most preferred and affordable housing market in the nation. This surge not only indicates an increase in average home sizes and prices but also signifies the maturation of Pune’s real estate market, showcasing a growing inclination towards higher-priced units over the years.
Predictions suggest a sustained surge in the real estate sector in the upcoming year. While the preference for larger homes persists post-pandemic, there’s a resurgence in demand for mid-sized and affordable housing units, expected to continue through 2024. Projects boasting state-of-the-art amenities remain popular among customers.
Naiknavare emphasized that the regulated real estate sector is attracting investments from various sources, including NRIs, OCIs, FDIs, and alternative financing avenues like AIFs and fractional investments. Investments in diverse verticals such as co-working spaces, co-living spaces, warehousing, plotting, and second homes are expected to escalate as customer confidence in the real estate sector continues to strengthen. The ongoing metro projects are catalysts for redevelopment ventures in city-centric and metro-route regions, foreseeing a continued sale of 90,000 to 100,000 homes in Pune’s future.
Delving into Pune’s landscape, North-West Pune emerges as a promising macro-market, witnessing a significant spike in primary housing units sold in 2023, recording over 10,750 units sold, reflecting a 41% surge from 2019. The growth in this region is not solely attributed to budget-friendly homes but also encompasses units priced above Rs 1 Crore.
Remarkably, 2023 witnessed Pimpri-Chinchwad’s ascent as a consistently thriving macro-market in Pune. The region experienced an outstanding 113% growth in value and a substantial 60% increase in units sold compared to 2019.