Mumbai’s real estate market has continued its impressive record-setting performance, achieving its best-ever results for the month of May. This sustained momentum is driven by robust sales and strong demand, even in the face of increasing mortgage rates and rising property prices.
The commercial capital of India recorded over 11,917 property registrations in May, marking a significant 21.3% increase compared to the same period last year. According to data available until 7 pm on Friday, these transactions generated ₹1,029 crore in stamp duty collections for Maharashtra, reflecting a 23.5% rise from May 2023. This information is corroborated by the data from the Inspector General of Registration and the Controller of Stamps.
Residential properties comprised 80% of the registered transactions for the month, with commercial properties accounting for the remaining 20%. This trend highlights the strong confidence and sustained interest among homebuyers, which has enabled property registrations to consistently exceed the 10,000 mark for each of the first five months of 2024. Remarkably, the market has experienced year-on-year growth in property registrations for ten consecutive months since August 2023.
In May, properties ranging from 500 to 1,000 square feet constituted 51% of the total registrations. Smaller properties, up to 500 square feet, made up 33% of the registrations, while 15% of buyers opted for larger spaces of 1,000 square feet or more. This data indicates a diverse demand across different property sizes, catering to various buyer preferences and needs.
A notable demographic trend within Mumbai’s real estate market is the prominence of millennials, particularly those aged between 28 and 43 years. This age group accounted for 38% of total property purchases in May, showcasing the significant role of younger buyers in driving the market.
The ongoing boom in Mumbai’s real estate sector underscores the resilience and attractiveness of the city’s property market. Despite economic challenges such as rising mortgage rates and property prices, buyer confidence remains undeterred. This sustained growth trajectory is likely to have a positive ripple effect on the broader economy, reflecting the city’s enduring appeal as a prime real estate destination.
As the market continues to thrive, stakeholders are optimistic about the future prospects of Mumbai’s real estate sector. The combination of robust demand, favourable demographics, and consistent year-on-year growth positions Mumbai as a resilient and dynamic property market, well-equipped to navigate and capitalise on the evolving economic landscape.
