The average residential prices in key micro markets across the top 7 cities saw a significant surge in the past three years between October-end 2020 and the corresponding period in 2023 on strong housing demand. According to ANAROCK Research data, among the key micro markets across top 7 cities, Hyderabad’s Gachibowli recorded the highest 33 per cent jump in average residential prices between 10M 2020 and 10M 2023, followed by Kondapur with a 31 per cent rise.
Bengaluru’s Whitefield comes in third with a 29 per cent jump in this three-year period – from Rs 4,900 per sq. ft. as on 10M 2020 to Rs 6,325 per sq. ft. by 10M 2023.
Key areas in MMR and NCR also saw average prices surge between 13 per cent and 27 per cent in this three-year span. In NCR’s Greater Noida West, average prices have increased by 27 per cent in the period. In MMR, Lower Parel saw average prices appreciate by 21 per cent.
Prashant Thakur, regional director and head, research, ANAROCK Group, said, “The end of October, marking the end of the festive season, typically denotes culmination of the year’s peak housing sales period. Barring discounts, 2020 was a year of price stagnation and year most developers would prefer to forget. The scenario in 2023 is markedly different – backed by strong demand, housing sales across the top 7 cities have created a new peak this year with sales far exceeding the previous peak of 2014. Led by both robust demand and increased input costs, there has been a significant surge in average housing prices across key micro markets in the top 7 cities.”
Up to the pandemic year of 2020, average residential prices across cities had remained largely range bound.
“Among the top 7 cities, key areas in the IT-led cities Hyderabad, Bengaluru and Pune saw the highest surge in average prices,” said Thakur. “Hyderabad also has a higher scope of price appreciation because pre-Covid-19, the city’s average prices were relatively lower than in Bengaluru’s IT/ITeS hubs. As of 10M 2023, the average prices in Hyderabad’s key micro markets are almost at par with Bengaluru’s IT-led housing hotspots.”