Mumbai, Bengaluru, Hyderabad Lead India’s Residential Real Estate Recovery

Mumbai, Bengaluru and Hyderabad are expected to lead India’s residential real estate recovery in 2022 at a time when home purchases have picked up pace in the wake of record low home loan interest rates in the last 15 years and record low affordability driven by stable real estate prices, according to Housing.com. While these three cities have seen increased homebuyer activity after the second wave of the coronavirus pandemic, the tier-II cities like Surat, Jaipur and Patna are the ones that have recorded the highest increase in online property search volume in 2021. “The metro cities of Mumbai, Bengaluru and Hyderabad will drive residential demand revival in 2022. We are also seeing increased traction in tier-II cities such as Surat, Jaipur, Patna, Mohali, Lucknow and Coimbatore on the back of continuing remote working policies. Homebuyers are now leaning towards larger homes and localities with access to better healthcare services, security, and open spaces. The changing consumer preference in residential realty, along with digital penetration across the supply and demand value chain, will shape the market in 2022” said the report. Even though the NCR has been at the receiving end of negative publicity due to project delays and developer insolvencies, Noida Extension in Noida will see significant homebuyer interest in the coming year, the index shows.