Overall housing sales in the MMR increased by 5% in FY 2024: Report

July 1, 2024: The overall housing sales in the Mumbai Metropolitan Region (MMR) have increased by 5% in FY 2024 compared to FY 2023, mentioned the MMR Housing Report for FY 2024, released by CREDAI-MCHI, the apex body of the real estate industry in the Mumbai Metropolitan Region (MMR), in partnership with CRE Matrix. This reflected the region’s robust demand for residential properties despite a challenging economic environment, the report mentioned. According to the report, this growth is particularly significant given the backdrop of a 22% decline in new housing launches, indicating a strong absorption rate of available inventory.

The MMR Housing Report 2024 reveals trends in sales, inventory, and property values across various regions within MMR.  This detailed report provides critical insights into the Mumbai Metropolitan Region (MMR) real estate market, showcasing significant trends and developments that are shaping the housing landscape.

Key findings from the report highlight a substantial 41% surge in sales in South Mumbai, driven by the redevelopment of old buildings into high-end luxury projects. Navi Mumbai follows with a 22% increase in sales, bolstered by improved connectivity and infrastructure developments such as the Atal Setu and the Navi Mumbai International Airport. Despite these positive trends, the report notes a 63% rise in unsold inventory in Navi Mumbai, primarily due to the high volume of recent launches.

Additionally, the report also documents a steady rise in the average value of housing units across the MMR. There was a notable 4% increase in FY 2024 compared to the previous fiscal year. Specific regions such as Bhiwandi, Thane City, Navi Mumbai and Mira-Bhayandar experienced a 7-12% appreciation in apartment values, with the Rest of Palghar region seeing an impressive 25% increase.

Domnic Romell, president of CREDAI-MCHI, said, “This collaborative effort has empowered us to deliver a comprehensive analysis of the Mumbai Metropolitan Region’s real estate landscape. The report unveils critical insights into market dynamics, including a 9% rise in unsold inventories and a notable 4% increase in property prices during Q2 CY’23. These findings underscore our commitment to providing stakeholders with accurate, actionable data and fostering informed decision-making in this dynamic market. We extend our gratitude to our partners and stakeholders for their ongoing support as we continue to shape the future of MMR real estate.”

Abhishek Kiran Gupta, CEO and co-founder of CRE Matrix, said, “Despite a slight decline in growth rates of housing sales as expected, MMR still scaled new peaks in housing demand in FY’24. The demand to supply ratio in MMR has never been this high. Despite a 22% decline in launches, we saw a 5% growth in sales. Demand across macro-markets which contribute the most- eastern suburbs, western suburbs, Thane city -remained strong. The Navi Mumbai story is unfolding now with the Atal Setu effect kicking in – launches, demand and pricing – all going upwards in the region, and we expect this to continue in the near future. All eyes on Aqua – With the Aqua line of Mumbai Metro launching this year, we expect more hectic activity in regions benefitting from this development. “

The report underscores the dynamic nature of the MMR real estate market, with significant variations in performance across different regions. For instance, while Central Mumbai recorded a 12% drop in unsold inventory, the overall MMR region saw a modest 5% increase in unsold units compared to FY 2023, indicating a balanced demand and supply scenario.

Launches and unsold inventories

 All values are for FY’24 as compared to FY’23 unless mentioned otherwise.