Driven by strong business pipeline, stable interest rate and new launches, real estate sector growth momentum will continue: Report
Mumbai (Maharashtra) [India], July 2 (ANI): The buoyancy in real estate sector sales is expected to remain strong, supported by a combination of key growth drivers which include aggressive business development targets, an uptick in project launches fueled by improved cash flows, and a stabilization in interest rates, according to a report by Nuvama.
Additionally, the ongoing diversification strategies and increasing market share are bolstering sector confidence. A favorable macroeconomic backdrop–marked by rising wages, growing employment opportunities, and the continued return-to-office trend–is also contributing to sustained home-buying activity.
The real estate market in Mumbai remained steady in June 2025, with 11,599 housing units registered during the month. This number was nearly unchanged compared to May and just 1 per cent lower than in June 2024.
However, the overall value of these registrations rose to Rs 173 billion, marking a 2 per cent increase year-on-year and the highest-ever registration value for any June on record.
The surge in value is largely due to an increase in high-value property purchases. The average price per home rose to Rs 1.49 crore, up 3 per cent from last year. This rise is linked to a greater number of transactions in the premium and luxury housing segments.
Homes priced above Rs 5 crore saw a 6 per cent increase in share, while the share of mid-priced homes (Rs 1-5 crore) declined by 10 per cent year-on-year. This trend suggests that wealthier buyers are actively purchasing properties, even as mid-segment demand cools slightly.
Around 80 per cent of the properties registered were residential, confirming that home buying remains strong in the city despite external challenges like global geopolitical tensions.
On a daily basis, registrations in June went up 4 per cent from May, though they were still 1 per cent lower than the same month last year. The overall trend reflects a balanced and stable demand in Mumbai’s housing market.
Experts believe that this sustained demand is driven by several positive factors: improved cash flow among developers, more new project launches, stable interest rates, and rising income levels. Additionally, more people are returning to office work, and overall employment opportunities have improved, making home ownership more attractive. (ANI)
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