Residential real estate demand up by 21.1% QoQ in city: Report

kolkata: The demand for residential real estate increased 21.1 per cent QoQ (quarter over quarter) while the supply (listings) increased by 5.1 per cent QoQ in Kolkata, according to a recent property index report.

The report further states that average property prices have increased by 1.7 per cent QoQ.

Affordability continues to be the key growth driver for Kolkata's residential market, as more than 60 per cent of homebuyers are inclined towards properties costing below INR5,000 psf segment, as revealed by Magicbricks PropIndex Report Q2, 2022.

The key employment hubs of Rajarhat, New Town have a supply of largely 2 and 3 BHK units, which are preferred by homebuyers.

Further, these and some other localities of north and central Kolkata are in high demand owing to their proximity to the airport, and connectivity with the rest of the city.

The report also witnessed an increase in their respective average property rates due to the high demand.

With just 9 per cent of demand for properties in >INR 7,500 psf segment, there is a clear indication that Kolkata's premium segment market has taken a back seat when it comes to home buyers' preference.

With the reopening of offices and educational institutes, there is an influx of migrants setting up a permanent base in the city, thereby increasing the residential demand. Meanwhile, an increase in new launches and completion of many under-construction projects in this quarter has led to a growth in QoQ supply. "We are seeing buyer's confidence and expect India's residential market to continue growing over the next few quarters as well," a real estate developer said.