Pune records third-highest price appreciation in real estate in 2022: Research

Hyderabad (89 per cent) and Kolkata (62 per cent) were the two cities which saw more growth than Pune in terms of unit absorption.

The absorption rise came despite a gradual increase in property rates. The rise in rates was because of the raw material price rise like that of steel and cement. The per square feet area in Pune was around Rs 6,000 as against Rs 5,733 in 2021. MMR and Bengaluru recorded the highest price rise of 7 per cent. Kolkata saw a 4 per cent rise, which was the lowest in the country.

In terms of new launches, Pune saw a healthy 61 per cent as compared to 2021. Pune saw the launch of 64,343 units in 2022 as compared to 39,869 units in 2021. MMR reported the highest launches with a growth rate of 114 per cent. Chennai and NCR saw a degrowth in terms of new launches of 20 and 19 per cent respectively.

Anuj Puri, chairman of ANAROCK, said, “2022 has been a phenomenal year for residential real estate despite all headwinds including rising property prices, interest rate hikes and all geopolitical tensions etc. Housing sales in the top 7 cities breached the previous highs of 2014 while new launches in comparison remained restricted.”

“While it was widely anticipated that the rise in property costs and interest rates towards the second half of 2022 would have a cascading impact on the residential sales, Q4 2022 remained quite robust with as many as 92,160 units sold in the period,” said Puri.

“Interestingly, NCR became the shining star in 2022 which deliberately restricted new supply in the year to approx. 22,350 units but witnessed robust housing sales of 63,700 units,” he said.

“Further, as we march into a new year, we anticipate the current sales momentum in the housing sector to continue in the first quarter of 2023. The appetite for homeownership has remained undeterred, with maximum sales being driven by the end-users. However, various risks loom large around the residential segment. A lot will depend on how the home loan interest rates pan out over the next year,” he added.