Why are land prices rising so fast? You will understand here
Land prices in India have increased rapidly in recent years. Now a big reason for this has come to light. Here you will get its complete details. Read this news...
The real estate sector has seen a tremendous boom in recent years. Not only flats but the prices of land have also increased rapidly.
If you too are not able to buy land or plot within your budget, then now a big truth has come to light. Why are the prices of land increasing so rapidly?
A report has come from realty sector advisory firm JLL India. This report talks about the increasing demand for residential and commercial properties in the country. But at the same time, it also shows a unique trend, which clearly indicates the reason behind the rising prices of land.
Developers are buying more land than before
According to JLL India, the demand for land from real estate developers has increased in the country. Between 2022 and 2024, real estate developers have invested a total of Rs 90,000 crore in buying land. Developers have acquired a total of 5,885 acres of land.
Data from JLL India showed that real estate developers bought 1,603 acres of land for Rs 18,112 crore in 2022, 1,947 acres of land for Rs 32,203 crore in 2023.
While in 2024, developers have bought up to 2,335 acres of land at a cost of Rs 39,742 crore. Thus, between 2022 and 2024, real estate developers bought 5,885 acres of land for Rs 90,057 crore.
The big thing is that this data only includes direct purchases by real estate developers. Whereas in many places across the country, developers and land owners also work in collaboration.
These land deals have not been included in this study. This shows that the demand for land has increased not only from individuals but also from developers, due to which its prices are increasing.
How much land will be used for which work?
JLL India says that 2024 has been important for India's real estate sector. Developers across the country have acquired 2,335 acres of land in 23 major cities. 81 percent of the land purchased in 2024 will be used for residential projects.
The remaining land can be kept for commercial purpose and mixed use. Most of the land was purchased in Tier-1 cities. Of the total land, cities like Bengaluru, Chennai, Delhi-NCR, Hyderabad, Kolkata, Mumbai Metropolitan Region and Pune have a share of 72 percent. A total of 28 percent of the land has been acquired in Tier II and III cities and this is equal to 662 acres.
