homereal estate NewsIndian real estate 2024: Developers pin hopes on mid range segment and policies support
Indian real estate 2024: Developers pin hopes on mid-range segment and policies support
Speaking to CNBC-TV18, Niranjan Hiranandani, Founder & Managing Director at Hiranandani Group expressed confidence that while India is growing, the real estate sector is poised to grow even faster, suggesting a potential 8% growth in GDP in 2024.
A CNBC-TV18 poll on home-buying has revealed that most developers expect sales volumes of new homes to go up even further in the new year. These results come on the back of 2023's astounding highs in the residential sector. Developers we polled, now say they're betting on the mid-range segment, repo-rate cuts, and continuing ownership aspirations.
Speaking to CNBC-TV18, Niranjan Hiranandani, Founder & Managing Director at Hiranandani Group expressed confidence that while India is growing, the real estate sector is poised to grow even faster, suggesting a potential 8% growth in GDP in 2024.
“The growth of the cities is happening and India is growing but real estate will grow faster and I believe that the multiplier effect of real estate is going to take place in the rest of the economy. If real estate continues to grow the way it is, I am going to see 8% growth in GDP by the end of 2024, not the 6% and 7%," Hiranandani said.
He highlighted the exponential growth of the BFSI sector and the flourishing IT sector, both contributing to the increasing demand for real estate. He emphasised the role of infrastructure development in Mumbai as a key driver for realty demand.
Irfan Razack, Chairman & Managing Director at Prestige Group stated that the real estate upcycle is currently in its third year, with homes being built experiencing strong demand. Razack clarified that the goal is not to surpass the Mumbai market but to complement existing builders.
Anticipating volumes from mid-income housing, Razack acknowledged the niche market for luxury housing and called for relief for affordable housing in the budget. Additionally, he suggested potential changes to GST for the affordable housing segment.
According to Samantak Das, Head Of Research & REIS at JLL India, the realty sector witnessed an all-time high in sales in 2023, surpassing the previous record set in 2010. Sales for 2023 are reported to be 20-25% higher than those in 2010.
Das predicts quality launches from prominent developers in the coming year, projecting a potential 20% growth in 2024.
In an interview with CNBC-TV18, Kamal Singal, the MD & CEO of Arvind SmartSpaces, highlighted the company's remarkable performance in response to the robust and widespread demand observed across the cities they operate in.
"We have had some very good launches last few months, and all of them have gone pretty well. This year, in the first half itself, we have seen a very strong growth in terms of fresh bookings, more like a 50 to 60% growth that we have seen in the numbers."
(Edited by : Pihu Yadav)
First Published: Jan 5, 2024 11:33 AM IST
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