Latest news with #FutureSentimentScore
News18
31-07-2025
- Business
- News18
Premium Property Surge Boosts India's Real Estate Recovery In Q2 2025: Report
The Knight Frank-NAREDCO Real Estate Sentiment Index rises to 56 in Q2 2025 from 54 in Q1, breaking a four-quarter downward trend. India's real estate sector is showing signs of cautious yet promising recovery in the second quarter of 2025, according to the latest Knight Frank-NAREDCO Real Estate Sentiment Index. The report highlights a notable uptick in stakeholder optimism, with the Sentiment Index rising to 56 in Q2 2025 from 54 in Q1, breaking a four-quarter downward trend. The Future Sentiment Score also climbed significantly to 61 from 56, reflecting growing confidence in the sector's performance over the next six months. This resurgence is largely driven by robust demands for premium homes priced above Rs 1 crore, alongside easy financing conditions and strategic developers focusing on high-demand micro market. With developers tailoring new launches to meet evolving lifestyle preferences and urban expansion patterns, the premium housing segments, particularly properties exceeding Rs 1 crore has emerged as a key driver growth. Approximately 70% stakeholders anticipate that residential launches will either remain steady or increase in the coming month, with the Rs 1 crore-plus segment outperforming due to strong demand in select markets. According to the report, 94% of the stakeholders anticipate that home prices will either stay the same or increase, consistent with the previous quarter's outlook. Cities like Delhi-NCR, Bengaluru and Chennai have reported double-digit year-on-year price growth fuelled by limited fresh supply and demand for branded homes with lifestyle amenities. South India leads regional sentiment with a Future Sentiment score of 63, driven by Bengaluru and Hyderabad's commercial strength and lifestyle housing demand. The West and East zones scored 61, while the North (Delhi-NCR) rebounded from 48 to 55, thanks to improved infrastructure and rising premium property focus. In the Delhi-NCR region, the real estate market is witnessing a robust resurgence, particularly in the luxury and ultra-luxury segments. The region recorded 81% increase in average property prices from Rs 4,580 per sq ft in 2020 to Rs 8,300 per sq ft in Q1 2025, with Greater Noida leading a 98% price surge to ₹6,600 per sq ft. Noida followed closely with a 92% rise, reaching Rs 9,200 per sq ft. The decline in unsold inventory by 51% from 1.73 lakh units in Q1 2020 to 84,500 units in Q1 2025 further underscores the region's strong demand, particularly for high-end homes priced above Rs 2.5 crore, which accounted for 59% of new launches in 2024. This growth is supported by structural reforms like RERA and the SWAMIH fund, alongside infrastructure developments enhancing connectivity. 'The Knight Frank-NAREDCO report highlights a pivotal recovery in India's real estate market, driven by strong demand for homes priced above Rs 1 crore. In Delhi-NCR, enhanced infrastructure and a clear focus on premium properties have fuelled this resurgence, lifting the North zone's Sentiment Score from 48 in Q1 to 55 in Q2 2025. This improvement reflects growing confidence among end-users and investors alike, underscoring a positive outlook for the region's realty sector. With favourable financing conditions and rising demand, Delhi-NCR is set to maintain this upward momentum through the remainder of 2025," Rahul Singla, director of Mapsko Group. Adil Altaf, managing director of Trinity, said, 'The latest Knight Frank-NAREDCO report signals a vital recovery for Delhi NCR's real estate in Q2 2025. The region's sentiment score jumped from 48 in Q1 to 55 in Q2, driven by improving infrastructure and strong demand for premium homes above Rs 1 crore. Improved infrastructure, easier borrowing conditions, and a renewed sense of optimism among homebuyers and developers are key reasons behind this positive shift. At ground level, families are seeking quality living with better amenities, and developers are stepping a notch to meet these expectations." Rakesh Malhotra, founder and chairman of PRIME Developments, said, 'Knight Frank's Q2 2025 findings highlight renewed momentum in Delhi NCR's housing market, especially for residences priced over Rs 1 crore. The region has seen a decisive shift, with upbeat sentiment and a deliberate focus on the premium segment across select micro-markets. Developers are more confident today, thanks to falling interest rates and a collaborative focus with financial institutions. People are looking for homes that match with their evolving lifestyles. The palpable sense of recovery and forward thinking is energising the entire region's property sector." 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Time of India
30-07-2025
- Business
- Time of India
Real estate sentiment improves in Q2 2025 as demand, liquidity and policy support boost outlook: NAREDCO Index
Policy easing, demand revival drive recovery Live Events Developers take the lead in confidence surge Premium housing fuels residential recovery Commercial office market remains resilient Improved liquidity and macroeconomic stability Industry poised for sustained growth (You can now subscribe to our (You can now subscribe to our ETMarkets WhatsApp channel After a year-long moderation, optimism has returned to India's real estate sector, driven by macroeconomic stability , accommodative policy, and robust demand in premium housing and office spaces. The Q2 2025 Knight Frank–NAREDCO Real Estate Sentiment Index reveals a marked improvement in confidence among developers, investors, and to the 45th edition of the index, the Current Sentiment Score rose to 56 in Q2 2025 from 54 in the previous quarter, while the Future Sentiment Score jumped to 61, up from 56. Both figures reflect a shift toward optimism after four quarters of cautious outlook.A confluence of favorable economic indicators—including a six-year low in CPI inflation (3.2%), record GST collections of Rs 2.4 lakh crore, and a 100-basis-point rate cut by the RBI in H1 2025—has helped rejuvenate stakeholder sentiment. These developments have improved liquidity, lowered borrowing costs, and sparked confidence in high-value residential and commercial segments.'This quarter marks a turning point,' said Shishir Baijal, Chairman and MD, Knight Frank India. 'Improved macro fundamentals and maturing sector strategies are enabling stakeholders to realign toward long-term growth, especially in premium and yield-accretive assets.'Developers exhibited the sharpest rise in confidence, with their Future Sentiment Score climbing from 53 to 63. Factors such as easier financing, stronger demand for luxury housing, and sustained commercial leasing in urban hubs are reinforcing their participants—banks, NBFCs, and private equity players—also reflected higher optimism, with their sentiment score increasing to 60 from 57. Structured funding opportunities in premium residential and office markets continue to attract institutional regions, sentiment rebounded, with the South leading at a score of 63, thanks to resilient markets like Bengaluru and Hyderabad. The North, previously hit by post-COVID uncertainty, rose from 48 to 55, while the West and East maintained a strong footing at 61 each.A strong 70% of stakeholders expect residential launches to remain stable or grow, with a marked preference for premium homes priced above Rs 1 crore. However, developers remain cautious on affordable housing due to tight margins and rising expectations also held strong, with 94% of stakeholders anticipating stable or rising prices, backed by double-digit year-on-year growth in cities like Bengaluru, Delhi-NCR, and office segment continues to perform well, buoyed by demand from Global Capability Centres (GCCs), third-party IT firms, and flex-space operators. About 80% of respondents foresee leasing volumes staying strong or improving, while 93% expect rentals to remain stable or Hyderabad, and Pune remain focal points, despite tight Grade A supply. Developers are taking a cautious approach to new commercial development, focusing instead on meeting targeted residential credit availability, thanks to the RBI's 100-bps rate cut, has significantly boosted funding sentiment. Ninety percent of stakeholders expect access to capital to stay stable or improve, compared to 79% in the previous robust macroeconomic indicators—ranging from record GST collections to an expanding PMI—have added to the positive outlook. About 70% of stakeholders now expect India's economic momentum to sustain or improve, up from 55% in Babu, President of NAREDCO, noted that the Q2 results signal the sector's growing resilience. 'Backed by lower borrowing costs, policy support, and strong demand for premium real estate, India's property market is on a strong footing for continued growth through 2025,' he said.: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of the Economic Times)
Hindustan Times
29-07-2025
- Business
- Hindustan Times
India's real estate market in ‘cautious recovery' mode; ₹1 crore homes drive growth in Q2 2025
Real estate developers and financial institutions remain optimistic about growth in India's property market over the next six months, despite ongoing global uncertainties. According to the Knight Frank-NAREDCO Real Estate Sentiment Index, the sector displayed signs of a 'cautious recovery' in Q2 2025. The ₹1 crore-plus housing segment continues to outperform, driven by strong demand in select micro-markets. Developers are increasingly tailoring new launches to align with evolving lifestyle preferences and patterns of urban expansion. Despite global uncertainties, real estate developers and financial institutions remain optimistic about India's property market growth over the next six months, the Knight Frank-NAREDCO report said. (Representational photo)(Pixabay) Geographically, South India emerged as the most confident region, registering a Future Sentiment Score of 63. Key cities such as Bengaluru, Hyderabad, and Chennai led this momentum, supported by robust office space absorption and active developer participation in both plotted developments and apartment projects. The Current Sentiment Score rose modestly to 56 in the April-June quarter, from 54 in the preceding January-March period, ending a four-quarter downward streak. The Future Sentiment Score climbed to 61 in April-June, from 56 a quarter ago. A score of 50 indicates a neutral outlook; scores above 50 reflect positive sentiment, while those below 50 suggest a negative outlook. The report also pointed to renewed optimism in the housing market, especially in the premium segment, spurred by falling interest rates, record GST collections, and strong demand momentum. Also Read: Bengaluru, Mumbai, Delhi among top 15 global cities for prime residential price growth: Knight Frank report Premium homes continue to attract buyers The Q2 2025 Sentiment Index showed that around 70% of stakeholders expect residential launches to remain steady or increase in the coming months. "The ₹1 crore-plus segment continues to outperform, with developers focusing on high-demand micro-markets and tailoring new launches to meet specific lifestyle needs and urban growth patterns. In contrast, launches in the mid- and low-income segments remain limited due to affordability constraints and shrinking margins, despite financing incentives," the report said The sentiment on pricing remained stable, with 94% of stakeholders anticipating stable or rising residential prices, consistent with last quarter's outlook. Cities like Bengaluru, NCR, and Chennai have reported double-digit year-on-year price growth in H1 2025, driven by limited fresh supply and strong demand for branded homes with lifestyle amenities. The report pointed out that sales expectations have also strengthened modestly. In Q2 2025, 52% of respondents expect residential sales to remain stable or improve over the next six months, slightly higher than the 50% recorded in Q1. Developers are more optimistic than before, the report said One of the key highlights of the report is the surge in optimism among developers. "The sentiment among developers has seen a sharp increase, with their Future Sentiment Score rising from 53 in Q1 to 63 in Q2 2025. This change is largely attributable to easing financing conditions, falling borrowing costs following a 100-BPS cumulative repo rate cut by the Reserve Bank of India in H1 2025, and a visible pick-up in high-ticket residential demand," the report said. The non-developer stakeholders, which include banks, NBFCs, and private equity funds, have also reported a positive sentiment this quarter. Their score improved from 57 to 60 in Q2 2025, reflecting greater comfort with the quality of inventory being developed and a growing alignment between funding institutions and developers in terms of strategic market focus, it noted. Also Read: Developers, financial institutions cautiously optimistic of growth in the real estate sector South India leads regional sentiment The report said that geographically, South India, home to high-growth residential markets such as Bengaluru, Hyderabad, and Chennai, emerged as the most confident region with a Future Sentiment Score of 63, supported by office absorption and strong developer activity in both plotted and apartment segments. "The north zone, which had hit a post-COVID low of 48 in Q1 2025, recovered to a score of 55 in Q2 2025, supported by improving infrastructure connectivity, a resurgence in demand in Delhi-NCR, and a shift in developer focus toward premium inventory. The West zone saw an increase from 58 to 61, underpinned by continued strength in markets like Mumbai and Pune, which are seeing a consolidation of residential supply and sustained demand for office space," the report said. Meanwhile, the East zone held steady at 61, with Kolkata's residential segment showing consistent mid-market activity and buyer confidence.
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Business Standard
29-07-2025
- Business
- Business Standard
Realtors, financial firms bullish on Indian real estate growth: Report
Real estate developers and financial institutions have become more optimistic towards growth in India's property market for the next six months despite global uncertainties, according to Naredco and Knight Frank. On Tuesday, realtors' body Naredco and property consultant Knight Frank India have released the 45th edition of the 'Real Estate Sentiment Index' for April-June quarter, which showed a significant shift in the mood of the supply-side stakeholders in the Indian real estate sector. "Following a year-long moderation in sentiment, stakeholders are beginning to look beyond short-term global uncertainties and are anchoring their expectations on India's structural economic strength, accommodative monetary policy, and robust demand in premium residential and office segments," the consultant said. The Current Sentiment Score rose modestly to 56 in the April-June quarter, from 54 in the preceding January-March period, ending a four-quarter downward streak. The Future Sentiment Score climbed to 61 in April-June, from 56 a quarter ago. A score of 50 indicates a neutral outlook; scores above 50 reflect positive sentiment, while those below 50 suggest a negative outlook. The report noted that India's economic environment has become more conducive to growth and investment because of low inflation, high GST collections and reduction in interest rates. Naredco President Hari Babu said the index reflects renewed optimism in the sector. "This recovery is led by steady office leasing -- particularly by GCCs and flex operators -- and strong demand for premium housing... Developers' outlook has notably strengthened amid improved liquidity and lower borrowing costs. Backed by record GST collections, robust PMI, and monetary easing, India's real estate sector appears well positioned for sustained growth through the rest of 2025," he said. Knight Frank India CMD Shishir Baijal said the recovery in both current and future sentiment scores reflects the sector's resilience and adaptability. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
Hans India
29-07-2025
- Business
- Hans India
Indian real estate sector turns optimistic for future growth amid robust sentiment: Report
India's real estate stakeholders appear to be responding positively to improving macroeconomic indicators, a report said on Tuesday, as the Sentiment Index rose to 56 in April-June period (Q2) from 54 in Q1 this year, snapping a four-quarter downward streak. The 'Future Sentiment Score' also climbed to 61 in the quarter from 56 a quarter ago, signalling a renewed sense of confidence and cautious optimism about the sector's performance in the next six months, according to the Knight Frank-NAREDCO 'Real Estate Sentiment Index for Q2 2025 (April-June).' This marks a significant shift in the mood of the Indian real estate sector. Following a year-long moderation in sentiment, stakeholders are beginning to look beyond short-term global uncertainties and are anchoring their expectations on India's structural economic strength, accommodative monetary policy, and robust demand in premium residential and office segments. 'Q2 2025 represents a turning point for the real estate industry with the recovery in both current and future sentiment scores reflects the sector's resilience and adaptability. As high-frequency indicators show sustained momentum, stakeholders are repositioning their strategies for long-term growth, especially in premium and high-yielding asset classes,' said Shishir Baijal, Chairman and Managing Director, Knight Frank India. One of the most encouraging signs in this quarter's index is the resurgence in developer confidence. The sentiment among developers has seen a sharp increase, with their Future Sentiment Score rising from 53 in Q1 to 63 in Q2 2025. This change is largely attributable to easing financing conditions, falling borrowing costs following a 100-BPS cumulative repo rate cut by the Reserve Bank of India in H1 2025, and a visible pick-up in high-ticket residential demand. Notably, non-developer stakeholders, which include banks, NBFCs, and private equity funds, have also reported a more positive sentiment this quarter, the report mentioned. Geographically, the rebound in sentiment is visible across all four regions of the country. The north zone, which had hit a post-COVID low of 48 in Q1 2025, recovered to a score of 55 in Q2 2025, buoyed by improving infrastructure connectivity, a resurgence in demand in Delhi-NCR, and a shift in developer focus toward premium inventory. The West zone saw an increase from 58 to 61, underpinned by continued strength in markets like Mumbai and Pune, which are seeing a consolidation of residential supply and sustained demand for office space. The South zone emerged as the strongest performer with a score of 63, up from 58, thanks to the commercial resilience of Bengaluru and Hyderabad and rising demand for lifestyle-led homes in key micro-markets. Meanwhile, the East zone held steady at 61, with Kolkata's residential segment showing consistent mid-market activity and buyer confidence, the report mentioned. The premium and luxury categories, particularly those priced above Rs 1 crore, continue to perform well. Developers are showing strategic maturity by focusing on select high-performing micro-markets. The sentiment around residential pricing is notably strong. In Q2 2025, 94 per cent of stakeholders expected prices to remain stable or increase at par with the previous quarter. 'This recovery is led by steady office leasing — particularly by GCCs and flex operators — and strong demand for premium housing. Regionally, sentiment has picked up across the board, with the South leading at 63,' said Hari Babu, President, NAREDCO.
