Delhi NCR Housing Market Surges with Record Launches and Sales in H1 2024

The Delhi NCR housing market saw significant growth in the first half of 2024, launching 23,265 units, surpassing 2023's total. Gurugram and Noida led new launches, especially in the luxury segment. Sales surged by 29% year-on-year, with average prices rising nearly 20%.

The housing market in Delhi NCR experienced a notable surge in the first half of 2024, with 23,265 housing units launched, surpassing the total annual launches of 2023, which stood at 22,707, according to a JLL report. Gurugram spearheaded the growth with 55% of the new launches, followed by Noida with 35%. An impressive 65% of the newly launched inventory has already been sold, indicating strong market demand and buyer interest.

Additionally, a significant portion of the new launches in Delhi NCR were in the luxury segment. About 27% of the units launched in H1 2024 were priced at Rs 5 crore or above, totaling nearly 6,200 units. This shift towards higher-priced projects underscores the growing demand for premium housing options in the region. In Gurugram alone, 43% of the newly launched residential units in H1 2024, amounting to 5,452, were priced at Rs 5 crore or above.

Noida's submarkets, such as Greater Noida and Yamuna Expressway, known traditionally for affordable housing, witnessed a noticeable uptrend in higher-priced projects ranging from Rs 8,000 to 10,000 per sq ft. Developers have been introducing premium projects featuring top-notch amenities and specifications. The first half of 2024 recorded a 29% year-on-year increase in home sales in Delhi NCR.

A total of 25,181 residential units were sold during this period, compared to 19,507 units in H1 2023. The luxury segment remained resilient with 19% of the total homes sold in the region priced at Rs 5 crore or above. Gurugram and Noida accounted for 89% of the total housing sales in Delhi NCR. High demand was particularly noted in Gurugram's New Gurgaon, Dwarka Expressway, and southern peripheral road submarkets. A substantial 76% of homes sold in H1 were under construction at the time of sale, reflecting the dynamic nature of the market.

The average price in Delhi NCR saw a year-on-year increase of nearly 20% in H1 2024, reaching Rs 6,485 per sq ft compared to Rs 5,445 in H1 2023. Gurugram experienced the highest annual price increase, with a 24% rise to Rs 9,100 per sq ft. Noida followed with an 18% increase, bringing the average price to Rs 6,100 per sq ft. The price surge is attributed to the launch of premium projects at higher rates and significant infrastructure developments, including the recent inauguration of the Dwarka Expressway.

With robust sales, Delhi NCR's unsold inventory continued to decline in H1 2024, falling to 64,861 units from 77,627 at the end of H1 2023, marking a 16% decrease. Projections indicate that housing sales in Delhi NCR may reach 45,000 units by the end of CY 2024, the highest since 2014.