Mumbai Real Estate Sees Surge in Diwali Property Registrations and Revenue
Mumbai's real estate market has shown impressive resilience and growth potential during the Diwali season of 2024. The festive period, known for its auspiciousness in property purchases, saw a substantial increase in both property registrations and revenue. According to data from the Inspector General of Registration and Controller of Stamps in Maharashtra, gathered by the real estate consultancy firm ANAROCK, October 2024 recorded an impressive 11,861 property registrations, marking a 21% increase from the 9,736 registrations during Diwali 2023. This increase can be attributed to the convergence of Dussehra and Diwali in the same month, encouraging potential buyers to seize the opportunity presented by the festive atmosphere.
Key highlights from the registration data and revenue figures include:
Total Registrations:
- 11,861 properties registered in October 2024
- 9,736 registrations during Diwali 2023
Revenue Growth:
- ₹1,081 crore generated in October 2024
- ₹712 crore collected in October 2023
The boost in registrations is indicative of a significant recovery in the real estate sector, especially following a sluggish performance in the third quarter of 2024. Anuj Puri, Chairman of ANAROCK Group, noted that while the Q3 2024 sales showed a 10% year-over-year decline, the October surge suggests a rebound in market activity. In Q3 2024, only 24,930 units were sold, a stark contrast to the higher sales figures of previous years.
In October, there was also a noticeable preference for residential properties, with these units constituting approximately 80% of total registrations. This trend reflects a sustained demand within the residential segment of the market, which has become increasingly vital for developers and investors alike. With a growing interest in homeownership, buyers are capitalizing on the festive season, traditionally viewed as a favorable time to invest in property.
Property Registration Trends Over the Years
A comprehensive analysis of property registration trends during the Diwali period over the past six years illustrates the ongoing demand for real estate in Mumbai. Here are the registration figures for the past years:
- 2024: 11,861 properties registered
- 2023: 9,736 registrations
- 2022: 8,421 registrations
- 2021: 7,582 registrations
- 2020: 9,301 registrations (lower average home price due to the pandemic)
- 2019: 5,811 properties (lowest in six years)
The average property price has steadily risen over this period, peaking at ₹1.66 crore in 2024. This trend underscores the changing dynamics of the market, where buyers are increasingly willing to invest in high-value properties.
Shift Toward Higher-Ticket Properties
The Diwali season of 2024 also highlighted a significant shift in buyer preferences toward higher-ticket properties. The average ticket price reached ₹1.66 crore, the highest recorded during the festive season. This increase reflects a growing interest in larger, more luxurious homes that offer modern amenities.
Several factors contributing to this trend include:
Post-Pandemic Recovery: Many buyers are now prioritizing spacious homes as they seek comfort and quality living environments after the constraints experienced during the pandemic.
Preference for Premium Housing: The shift toward high-value properties indicates that buyers are willing to invest in more luxurious options, moving away from the budget-friendly choices that were more prevalent during the pandemic.
Inflation and Rising Property Values: Economic factors, including inflation and escalating property prices, have influence buyer behavior, leading to increased ticket sizes in the market.
Outlook for Mumbai's Real Estate Market
The October performance sets a positive tone for Mumbai’s real estate market as 2024 approaches its end. Year-to-date figures indicate that over 1.15 lakh properties have been registered in the first ten months, resulting in nearly ₹10,000 crore collected in revenue. This reflects not only a strong market recovery but also sustained interest in property investment within the city.
Several factors are supporting this growth trajectory:
Higher Disposable Incomes: There is an increase in disposable incomes among the upper-middle-class and affluent segments, allowing for more substantial investments in real estate.
Festive Season Sales: Traditionally, the festive season is a peak time for property purchases, and this year was no exception, attracting a significant number of buyers.
Stable Regulatory Framework: A robust regulatory environment ensures smoother transactions, which is crucial for maintaining investor confidence.
The ongoing urbanization trends within the city also play a pivotal role in driving demand for real estate. As urban areas continue to expand, the necessity for both residential and commercial properties remains high, further fueling growth in the market.
A Promising Future for Mumbai's Real Estate
The surge in property registrations and revenue during Diwali 2024 signals a robust recovery and a bright outlook for Mumbai's real estate sector. The 21% year-on-year increase in registrations and the 52% growth in revenue collections are clear indicators of a vibrant market. The shift towards premium housing highlights changing buyer preferences, reflecting a broader transformation in the real estate landscape.
