Home rental market on the recovery path
Deccan Herald
Bhavesh Kothari
The Indian residential real estate has been witnessing steady growth over the past two quarters on account of declining inventory and rising rentals with hybrid and remote work becoming commonplace. This coupled with the increased interest from retail customers looking to acquire income-generating assets post the pandemic led-uncertainty and decadal low home-loan interest rates have been driving up the sales.
Industry data suggests that the rental housing demand grew by around 7% year-on-year in the first quarter of the calendar year 2022 due to higher demand in cities such as Gurugram, Delhi, Noida, Bengaluru, and Ahmedabad.
According to global property consultant JLL, sales in Q1 2022 scaled a new peak for the second straight quarter (since Q2 2013) with the residential apartment market in India recording sales of close to 52,000 units in the quarter, an increase of 11% on a sequential basis. Sales for the quarter also surpassed the average quarterly sales for the pre-Covid 2018-19 period by a significant 148%.
