MahaRERA Data: Half of Mumbai’s 2024 Registered Properties Measure Under 650 Sq Ft

In 2024, half of the properties registered in Mumbai’s real estate market were below 650 sq ft, with nearly 60% consisting of 1 BHK and 2 BHK apartments. This trend underscores affordability as a key factor influencing apartment sizes, according to registration data from the Maharashtra Real Estate Regulatory Authority (MahaRERA).

Despite this, the average apartment size has shown a gradual increase over the past five years. The supply of larger apartments, ranging from 60 to 120 sqm (650 sq ft to 1,300 sq ft), has nearly doubled in the last four years, reflecting a shift in buyer preference toward more spacious homes.

Registration Data and Growth Comparison

A total of 63,244 units were registered in Mumbai in 2024, reflecting a 4% increase from the 60,930 units registered in 2023. The highest number of registrations in the past five years was recorded in 2022, with over 75,000 units launched. While the 2024 figures indicate a positive market trend, the overall supply remains lower than in 2022 but higher than pre-pandemic levels, suggesting continued recovery in the sector.

Shift in Buyer Preferences

Developers and industry experts point out that affordability continues to be a crucial consideration for homebuyers. However, there is a noticeable increase in demand for larger apartments, particularly 3 BHK and above. According to MahaRERA data, of the 63,244 units registered in 2024, 36,274 were 1 BHK and 2 BHK apartments, while 15% (approximately 10,000 units) were 3 BHK, and around 3% (nearly 2,000 units) were 4 BHK apartments.

Commercial Spaces and Price Trends

In addition to residential units, over 6,200 office spaces and shops were registered in Mumbai in 2024, accounting for approximately 10% of total launches. According to local brokers, the price range for apartments in Mumbai starts at around ₹20,000 per sq ft and can go up to ₹1.60 lakh per sq ft for luxury homes. Notably, one of the most expensive transactions in 2024 involved Uday Kotak purchasing 12 sea-facing apartments in Worli for ₹202 crore at a rate exceeding ₹2.70 lakh per sq ft.

Declining Supply of 1 BHK Apartments

The supply of 1 BHK apartments has witnessed a decline over the years. In 2022, developers registered over 21,000 such units in Mumbai, which fell to over 18,000 in 2023 and further declined to approximately 15,000 in 2024. Conversely, the share of 3 BHK and larger units has increased, reflecting changing buyer priorities.

Geographical Distribution of New Launches

The data also highlights an increase in new housing launches in areas such as Kurla East, Bandra West, Vile Parle East, Andheri East, Marol, Malad, Ghatkopar East, Bhandup West, Vikhroli, Borivali West, and Kandivali East. The highest number of launches—over 1,000 units—was recorded in Bhandup West, Mulund West, Borivali West, Malad East, and Oshiwara. Industry analysts note that around 90% of new launches in 2024 were concentrated in North and Central Mumbai, particularly in Dadar and Sion.

Post-COVID Revival and Market Drivers

While the number of new units launched in 2024 is higher than in 2023, it remains 15% lower than in 2022. However, the overall registration figures still surpass pre-2019 levels, indicating a post-COVID-19 revival in the real estate sector. The increase in new launches can be attributed to factors such as premium discounts, relaxation of Coastal Regulation Zone (CRZ) norms, and favorable market conditions, which have boosted sales in the city.

In the last six months of 2024, nearly 27,000 new housing units were launched in Mumbai City, excluding Thane and Navi Mumbai. Developers cite policy incentives and improved buyer sentiment as key contributors to this surge. The trend of rising demand for mid-sized and larger apartments suggests a shift in homebuyer preferences, likely influenced by evolving lifestyle needs and work-from-home arrangements.

Evolving Buyer Preferences and Future Trends

The Mumbai real estate market continues to evolve with shifting buyer preferences. While affordability remains a key driver of demand, an increasing number of homebuyers are prioritizing larger living spaces. This shift is influenced by factors such as hybrid work culture, which has led to a demand for home offices, and the need for enhanced lifestyle amenities.

Developers are adapting to these changing dynamics by offering a diverse range of configurations and price points. The coming years are expected to see a more balanced supply of compact and spacious homes, catering to a broad spectrum of buyers. Additionally, infrastructure development, improved connectivity, and policy support will likely continue to shape the city's real estate trajectory.

Mumbai’s housing market is set to grow, driven by affordability, location trends, and changing buyer preferences. The patterns seen in 2024 indicate sustained activity, keeping the city’s real estate sector competitive.

Image source- maharera