Rents Surge 22.4% YoY And 4.6% QoQ; Millennials Drive Record Demand: Magicbricks Rent Update (Jul-Sep 2023)

* Thane (57.3% YoY), Gurugram (41.4% YoY), Greater Noida (28.7% YoY), Noida (25.2% YoY) and Hyderabad (24.2% YoY) observed highest YoY rent appreciation  

* Millennials (Age 18-34) constitute 67% of rental demand across 13 cities  

* 41% of the tenants preferred mid-segment rentals ranging between Rs 10,000 to Rs 30,000 per month  

Magicbricks, India's leading real estate platform, released its flagship Rental Index for July-September 2023, observing that rents across 13 major cities in India soared 22.4% YoY and 4.6% QoQ. This follows a preceding quarter where rents surged by 4.9%. 

Based on the behavior and preferences of over 2 crore customers on Magicbricks platform, the report also observed that Thane (57.3% YoY), Gurugram (41.4% YoY), Greater Noida (28.7% YoY), Noida (25.2% YoY) and Hyderabad (24.2% YoY) observed highest appreciation in rent as compared to last year. The report also revealed that millennials (Age 18-34) constituted 67% of rental demand across these cities. 

Sudhir Pai, the CEO, Magicbricks, commented, "The surge in rents reflects a confluence of factors—economic growth, urbanization, and the return to office by companies. High demand, coupled with limited supply has propelled rents, highlighting the evolving landscape of the real estate market. Further, as businesses reinstate in-office work, the need for housing closer to workplaces has also intensified, especially from millennials. However, notable is the slowdown in rent appreciation from the previous quarter, hinting at an expected deceleration in growth over the upcoming quarters as well”. 

The report concludes that 41% of the tenants preferred mid segment rentals ranging between Rs 10,000 to Rs 30,000 per month. Further, the market is dominated by semi-furnished units constituting 52.7% of demand and 48.7% of supply 

About Magicbricks: India's no 1 property site   

As the largest platform for buyers and sellers of property to connect in a transparent manner, Magicbricks has monthly traffic exceeding 2 crores and an active base of over 15 lakh property listings. Magicbricks has metamorphosed into a full-stack service provider for all real estate needs, with 15+ services including home loans, pay rent, movers and packers, legal assistance, property valuation, and expert advice. 

With 15+ years of experience and deep research-based knowledge, Magicbricks also presents a repertoire of insight-driven platforms like MBTV- India’s leading online real estate YouTube channel, and other proprietary tools so that home buyers can access all information related to price trends and forecasts, locality reviews and more.