Delhi-NCR Real Estate Market Witnesses a Decade Low in Unsold Inventory – A Paradigm Shift in the Residential Landscape

In a significant development, the National Capital Region (NCR) has recorded its lowest unsold inventory in a decade, falling below the one lakh mark for the first time. According to the latest research data from ANAROCK, NCR’s unsold inventory witnessed a remarkable 23% yearly decline, plummeting from approximately 1,23,692 units at the end of 2022 to around 94,803 units by the end of 2023. This substantial reduction in unsold housing stock marks the highest annual decline among the top seven cities in India.

Delhi-NCR, despite being one of the most vibrant residential markets among the top seven cities in 2023, experienced a strategic shift in the approach of developers. While robust sales were recorded in the region, developers chose to curtail new supply to facilitate the liquidation of existing unsold stock. This deliberate strategy has led to a noteworthy reduction in the overall market inventory.

Santhosh Kumar, Vice Chairman of ANAROCK Group, commented on this trend, stating that approximately 36,735 units were launched in Delhi-NCR in 2023, with robust housing sales reaching approximately 65,625 units. He highlighted that developers in the region are consciously limiting new supply to concentrate on project completions and reduce existing unsold stock. Kumar emphasized that the current unsold stock in Delhi-NCR is considerably lower than other realty hotspots like the Mumbai Metropolitan Region (MMR), where available stock has surpassed 2 lakh units.

Kumar noted, “NCR’s inventory has also reached below other top cities, including Pune and Hyderabad. This is remarkable, considering that NCR historically had one of the highest unsold stock burdens among the top seven cities.”

The specific breakdown of the unsold inventory in various NCR regions provides further insights:

1. Gurugram: Despite having the highest stock of approximately 37,575 units, Gurugram marked a 27% annual decrease. The unsold stock in Gurugram was around 51,312 units at the end of 2022.
2. Greater Noida: With around 18,825 units unsold by the end of 2023, Greater Noida successfully reduced its stock by 28% annually, compared to approximately 26,096 units at the end of 2022.
3. Ghaziabad: Ghaziabad witnessed a 19% yearly decline, with its unsold stock decreasing to approximately 12,546 units by the end of 2023 from 15,475 units at the end of 2022.
4. Noida: Noida recorded a 15% yearly reduction in unsold stock, reaching approximately 8,658 units by the end of 2023, down from around 10,171 units at the end of 2022.
5. Delhi, Faridabad, and Bhiwadi: Together, these regions had approximately 17,199 unsold units by the end of 2023, showcasing a 17% reduction from the tally of approximately 20,638 units a year ago.

The data underscores the success of the developers’ strategy in Delhi-NCR to balance sales, launch activities, and project completions, resulting in a more favorable market equilibrium and the lowest unsold inventory in over a decade.