Housing prices in Ahmedabad have increased by an average of 45% over the last five years due to rising demand for residential properties, especially post-COVID, according to PropTiger. The average housing price in January-March 2024 was Rs 4,150 per square foot, up from Rs 2,867 per square foot in the same period of 2019.

The average housing price growth during January-March 2024 was 10% compared to the previous year. PropTiger.com is part of REA India, which also owns Housing.com and Makaan.com. Vikas Wadhawan, Group CFO of REA India and Business Head of PropTiger.com, noted that Ahmedabad has emerged as a major real estate market in India.

"As the nerve center of economic activity, Ahmedabad attracts numerous buyers and investors from neighboring states such as Madhya Pradesh and Rajasthan. Its well-developed infrastructure ensures seamless connectivity with other major financial centers in India, including Mumbai," he said.

PropTiger data showed that housing sales in Ahmedabad during January-March 2024 rose 78% to 12,915 units, from 7,256 units in the year-ago period. New supply in Ahmedabad fell 64% in January-March 2024 to 3,116 units, from 8,655 units in the corresponding period of the previous year.

Housing sales stood at 41,327 units last year, compared to 27,314 units in 2022, 16,874 units in 2021, 12,156 units in 2020, and 25,734 units in 2019. Similarly, new supply rose to 55,877 units last year, from 32,663 units in 2022. Launches were at 41,357 units in 2021, up from 7,687 units in 2020 and 15,648 units in 2019.

The average housing price was Rs 4,000 per square foot in October-December 2023, compared to Rs 3,700 per square foot in the same period of 2022. In October-December 2021, the average housing price was Rs 3,452 per square foot, compared to Rs 3,213 per square foot in the same period of the previous year. The average housing price was Rs 3,107 per square foot in October-December 2019.

"The post-COVID period has ushered in a robust phase of growth for Ahmedabad's Tier-2 real estate market. The combination of trusted developers, rising consumer aspirations for premium properties, and enhanced market transparency have created a dynamic and rapidly evolving market landscape," Wadhawan said.

The report highlighted that Ahmedabad's property market growth aligns closely with the development of the Gujarat International Finance Tec-City (GIFT City), initiated in 2007. Positioned as India's response to global financial districts like London's Canary Wharf and Shanghai's Pudong, GIFT City is envisioned to help India become a $ 30 trillion economy by 2047. Ahmedabad, as the primary beneficiary of this financial hub, has experienced significant impacts on its real estate sector, attracting increased interest from Non-Resident Indians (NRIs). (Source: Business Standard )