From the epicentre of unscrupulous real estate activities to one of the country’s most vibrant realty markets, NCR has come a long way. The region has seen several notable trend reversals in the past five years including high growth in luxury housing demand at the cost of affordable housing.
The latest research data by Anarock indicates that out of NCR’s total housing sales of about 32,200 units in H1 2024, an over 45 percent share was in the luxury segment, and 24 percent in the affordable segment. Back in 2019, sales of luxury homes were a mere 3 percent while the affordable sales share stood at 49 percent. In terms of overall sales numbers, nearly 14630 luxury units were sold in the NCR in H12024, against approximately 1580 units in the entire 2019. On the other hand, in the affordable segment, about 7730 units were sold in H12024 against nearly 23180 units in 2019.
Gurugram
Among all NCR cities, Gurugram has been the most active real estate market in the recent years. Millennium City, according to Anuj Puri, Chairman, Anarock, saw approx. 17,570 units sold across different budget segments in H1 2024. Of these, a whopping 59 percent (approx.10,365 units) were luxury homes, followed by 27 percent (nearly 4,710 units) in the affordable segment. Back in 2019, about 13245 units were sold in Gurugram, of which 43 percent or approx. 5,740 units were in the affordable housing category. The sales share of luxury homes was just 4 percent or jus about 470 units.
Noida & Greater Noida
Noida and Greater Noida together saw approx. 8,425 units sold in H1 2024. Of this, 42 percent (approx. 3,550) units were luxury homes and just 13 percent (approx. 1,100) units were in the affordable segment. The highest sales share – 3,770 units or 45 percent was in the mid and premium segments priced between INR 40 lakh and INR 1.5 Cr. In 2019, these two cities together saw the highest sales in NCR – approx. 21,770 units. Of this, 44 percent (approx. 9,565) units were sold in the affordable segment, and just 4 percent (approx. 990) units were in the luxury segment. The maximum sale of 11,215 units or 52 percent was in the mid and premium segments together.
Other NCR Cities
Ghaziabad, Faridabad, Delhi and Bhiwadi together saw approx. 6,205 units sold in H1 2024, of which the luxury segment accounted for 715+ units, while affordable housing saw 1,920 units sold. The maximum sales of approx. 3,570 units were in the mid and premium segments. Back in 2019, these cities saw approx. 11,900 units sold, of which the highest share of approx. 7,875 units were in the affordable segment, followed by approx. 3,910 units in the mid and premium segments. Just 115 units sold were luxury homes.
New Supply Dynamics – City-wise
Source: ANAROCK Research
New supply in the region has followed demand, with developers adding more supply in the luxury segment and curtailing it in the affordable segment. Out of approx. 24,300 units launched in NCR in H1 2024 across budget segments, just 2,570 units or 11 percent were in the affordable segment – a massive 18,600 units, or 77 percent, were in the luxury segment.
Contrastingly, in 2019, out of approx. 35,280 units launched in the region, over 47 percent or approx. 16,680 units were in the affordable segment and a mere 12 percent (approx. 4,230 units) were in the luxury segment.