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Pirojsha Godrej, Executive Chairperson of Godrej Properties, notes that while demand for residential properties in major cities remains robust, the high levels of enthusiasm seen in recent years are easing a bit. Godrej Properties, one of India’s top real estate developers, became the largest listed realty company in 2024 by booking sales worth over Rs 28,000 crore.
According to Godrej, there’s no overall slowdown in the housing market. In fact, the company recorded over Rs 500 crore in sales from new residential projects across five cities during the December quarter, spanning regions in North, South, West, and East India. “Am I seeing a slowdown in demand? No, because our numbers clearly show a very strong housing market,” he remarked.
However, he did observe that the excitement seems to be tapering off in the Delhi-NCR region compared to the levels seen six to twelve months ago. Despite this slight cooling, demand in the area remains healthy.
In the third quarter of the current financial year, Godrej Properties achieved similar impressive sales—over Rs 500 crore—from new offerings in the Mumbai Metropolitan Region, Bengaluru, Gurugram, Pune, and Kolkata. Godrej highlighted that this is likely the first time any developer in the country has experienced such a positive response across so many cities simultaneously.
Adding another perspective, Vipul Rungta, CEO of HDFC Capital Advisors, pointed out that the rapid growth in housing prices has slowed down. “The excitement over price growth that was evident a year or a year and a half ago isn’t there anymore,” he said. Supporting this view, real estate data firm PropEquity reported a nine percent decline in home sales in India’s top nine cities last year, while property consultant Anarock noted a four percent drop in sales across seven major cities.
Overall, while the housing market continues to perform strongly across most regions, there are signs that buyer enthusiasm and rapid price increases are starting to moderate in certain areas.
