Residential Market Update: Q4 2021

Explore how the demand and supply situation has changed in Q4 2021.

February 16, 2022
  • Samantak Das
  • Rohan Sharma

Renewed buyer confidence has been instrumental in supporting the housing market recovery in Q4 2021, which recorded a healthy quantum of sales and launches as compared to the same period last year.

The Q4 numbers surpassed the pre-COVID era, comfortably. The reduction in home loan interest rates (to a decadal low) coupled with the incentives and discounts during the festive season improved buyer confidence, which augured well for the residential sector. With the residential prices holding steady and continued incentives by developers, the residential market is likely to build on these gains.

Sales volume in the fourth quarter was up by 70% compared to the pre-pandemic levels of Q1 2020. On a sequential basis, sales improved by 40% during Q4 2021. The fourth quarter topped in terms of sales in 2021 with 46,750 units sold—the highest quarterly sales since 2013. H2 sales accounted for a strong 63% share of the overall sales clocked in 2021 across the top seven cities.

Improving market sentiment on the back of the economic recovery has instilled confidence amongst developers. They strategically launched projects across cities to tap into the demand recovery. The top seven cities under consideration witnessed new launches of 45,383 apartment units in Q4 2021, an increase of 38% q-o-q.

In Q4 2021, prices were largely stable compared to earlier quarters. But an uptick was visible in Hyderabad, Mumbai and Pune. An upward price movement in these cities was visible on a y-o-y basis as well.

With the festive season coinciding with the fourth quarter, developers kept prices within a tight range to sustain the sales velocity. They also continued to offer various discounts such as straight-up price reductions and deferred payment plans. There were other incentives like no pre-EMIs for under-construction properties, waiver of floor rise and car parking charges, free home furnishings, attractive gifts, and so on to attract fence-sitters and prospective home buyers.

With the residential prices holding steady along with various incentives developers offer, the residential market is likely to build on these gains going forward.

We also expect new launches of independent floors and plotted developments to go up as buyers' preference is aligned towards such projects while developers get the advantages of faster execution, quick delivery and inventory liquidation.

Fill out this form to download report

There was an error submitting the form. Please try again.


Jones Lang LaSalle (JLL), together with its subsidiaries and affiliates, is a leading global provider of real estate and investment management services. We take our responsibility to protect the personal information provided to us seriously.

Generally the personal information we collect from you are for the purposes of downloading materials you have requested.

We endeavor to keep your personal information secure with appropriate level of security and keep for as long as we need it for legitimate business or legal reasons. We will then delete it safely and securely. For more information about how JLL processes your personal data, please view our privacy statement.