Monthly Watch: Homes Sales Increase 39% In Chennai

With affordable housing being the main theme of the season, the demand for luxury housing might not be equally prominent in major Indian cities. However, the same is not true when we examine the key figures of Chennai property markets. According to a PropTiger DataLabs report for the month of January, new project launches and home sales increased in the first month of the new year in the Tamil Nadu capital as buyers came looking for luxury.

According to the report, homes sales in the city increased 39 per cent over the previous month, with the luxury segment contributing the highest to the numbers.  Developers have sensed the demand for luxury picking up and are acting accordingly. As a result, new project launches increased 215 per cent in January over December, with most of the projects being concentrated in the high-end segment.

While there has been only a marginal annual increase in property prices, rates in the middle and luxury segments are seen rising between three and four per cent, says the report. However, this marginal increase is not seen dampening the buyers' spirits.

Coming soon

Developers who launched new projects in Chennai in the month of January include Arun Excello, Indira Projects, Jones Foundation, Nova Life Space and Space. At Indira Projects upcoming venture New Town at Oragadam, units are priced at Rs 2,500 per sq ft. Houses at Jones Foundations' new project Blazia at Madipakkam are priced at Rs 5,900 per sq ft. Prices of units at other new projects vary from Rs 3,200 to Rs 3,500 per sqft.

Also read: Prime Localities In Chennai Garner More Interest, Rents As High As 1.5 Lakh

Biggest contributors

Areas that contributed the highest to monthly homes sales in Chennai include Navallur, Perumbakkam, Sholinganallur, Avadi and East Tambaram. These localities offer housing options to middle and luxury segments. For instance, average property price in Sholinganallur stands at Rs 5,800-Rs 7,650 per sq ft. Comparatively, Avadi offers cheaper options, with average prices ranging between Rs 2,800 and Rs 3,000 per sq ft. While average property prices stand at Rs 3,850-Rs 5,200 per sq ft in East Tambaram, they vary from Rs 5,150 to Rs 5,350 per sq ft in Navallur. In Perumbakkam, average property prices according to PropTigerDataLabs stand at Rs 4,500 per sq ft.