With more supply hitting the markets in top 7 cities, over-heated housing rents are stabilizing. Latest ANAROCK data shows that average residential rental prices across key markets in these cities saw a 2-4 percent quarterly rise in Q2 2024 to date over the preceding quarter. Q1 2024 saw rents in these markets rise by between 4-9 percent quarterly against Q4 2023.
According to Santhosh Kumar, Vice Chairman, Anarock Group , the second quarter of most years typically sees rents increase more than in other quarters due to the commencement of the new academic year and the employment of new staff. This year, declining rental value growth coincides with substantial new housing supply entering these markets.
The top 7 cities are set to deliver approximately 5.31 lakh new units in 2024 while in 2023, these cities saw nearly 4.35 lakh units hit their markets. This denotes a 22 percent annual supply increase this year if delivery schedules remain on track.
The average rents for a standard 1,000 sq.ft. 2 BHK in Bengaluru’s Whitefield rose by 4 percent – from INR 32,500/month in Q1 2024 to INR 35,000/month in Q2 2024 to date. In Q1 2024, the quarterly jump against Q4 2023 was double at 8 percent
| Cities | Micro Markets | 2023-end | Q1 2024 | Q2 2024 |
| Bengaluru | Sarjapur Rd | 31,600 | 34,000 | 35,000 |
| Whitefield | 30,200 | 32,500 | 33,700 | |
| Hyderabad | HITECH City | 31,000 | 32,500 | 33,500 |
| Gachibowli | 30,500 | 32,000 | 33,000 | |
| Pune | Hinjewadi | 25,600 | 26,500 | 27,000 |
| Wagholi | 20,600 | 22,000 | 22,700 | |
| NCR | Sohna Road | 32,700 | 34,000 | 35,000 |
| Sector-150 (Noida) | 22,000 | 24,000 | 25,000 | |
| Dwarka | 25,800 | 27,400 | 28,000 | |
| MMR | Chembur | 60,000 | 62,500 | 63,500 |
| Mulund | 46,500 | 48,500 | 49,700 | |
| Kolkata | EM Bypass | 25,600 | 27,000 | 27,800 |
| Rajarhat | 18,500 | 19,000 | 19,500 | |
| Chennai | Perambur | 20,200 | 21,000 | 21,600 |
| Pallavaram | 19,500 | 20,300 | 20,800 |
Source: ANAROCK Research
City-wise Completions in 2024
Anarock data indicates that nearly 5,31,470 units are expected to be completed in 2024 across the top 7 cities, provided there are no delivery delays In 2023, approxImately 4,35,045 units were completed in these cities.
| Completed / To be Completed Units | ||
| Cities | Year 2023 | Year 2024 (EST) |
| Bangalore | 52,565 | 51,685 |
| Chennai | 14,125 | 17,580 |
| Hyderabad | 20,500 | 34,770 |
| Kolkata | 25,075 | 25,220 |
| MMR | 1,43,500 | 1,60,900 |
| NCR | 1,14,280 | 1,44,315 |
| Pune | 65,000 | 97,000 |
| Total | 4,35,045 | 5,31,470 |
Source: ANAROCK Research
Among the top 7 cities, MMR is slated to see the highest completions at about 1,60,900 units in 2024. In 2023, the region saw nearly 1,43,500 units completed.
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