Areas in the National Capital Region (NCR) have witnessed the highest year-on-year (YoY) decline in new launches of residential units amongst the top seven cities in the country, according to a study.
The study by the real estate consultancy firm, Anarock, said that NCR accounted for 7 per cent of the total new supply in Q3 2022 across the top seven cities.
Approximately 6,400 new residential units were launched between July and September 2022. In comparison to the previous quarter, new launches grew by 57 per cent but saw a 24 per cent decline on a YoY basis.
Regarding the new launches of NCR at a zonal level, Gurugram, with the highest supply share of 61 per cent in Q3 2022, saw a decline of 9 per cent against Q2 2022.
Greater Noida with a 19 per cent QoQ rise in the new launch activity came in second, contributing 28 per cent to the NCR’s overall new supply.
Noida and Faridabad are the two markets in NCR which saw no new launch activity in the current quarter.
In contrast to the preceding quarter, the mid-end segment has surpassed the number of affordable housing launches to become the top launched price bracket among developers in the current quarter, accounting for 35 per cent of new supply, said the study.
Inventory in NCR was at 1.32 lakh units by the end of Q3 2022.
NCR saw the highest decline amongst the top cities by 6 per cent against the preceding quarter. On a yearly basis, the available residential stock declined by 21 per cent.
Gurugram had the maximum stock availability accounting for 41 per cent of the region’s total available inventory, owing to considerable new launch supply in the city over the past few quarters.
The second highest available stock is in Greater Noida, where its share is 21 per cent.
The majority of the NCR’s available inventory is concentrated in the affordable and mid-segment ticket sizes, individually contributing 36 per cent and 34 per cent, respectively.
Besides Pune, NCR is the only other city to have the highest decline in inventory overhang by three months, from 27 months in Q2 2022 to 24 months in Q3 2022.
Anarock’s research said that QoQ housing sales in NCR declined by 2 per cent in Q3 2022, second only to Chennai which also witnessed a drop in sales in the quarter.
Nearly 15,000 housing units were sold in the third quarter of 2022 in NCR, accounting for 17 per cent of overall residential sales in the top seven cities.
In terms of zone-wise residential sales within NCR, Gurugram accounted for nearly 54 per cent of all sales in Q3 2022, a 5 per cent rise against Q2 2022.
Greater Noida came in second with roughly 16 per cent of house sales, followed by Ghaziabad and Noida with 11 per cent and 9 per cent sales, respectively.
The remaining cities Faridabad, Delhi, and Bhiwadi registered home sales of 10 per cent in the current quarter.