Property prices in this NCR area rose by 13% in 2024

Gurugram, a key economic hub within the National Capital Region (NCR), continues its rapid real estate growth. The city's proximity to the international airport, abundant land, and favourable tax policies have positioned it as a major IT and ITeS centre. This growth has led to increased demand for housing, driving up property prices.

As a result, peripheral micro-markets like Sohna, located south of Gurugram, are gaining traction, says a report by the Square Yards. Improved infrastructure, particularly the six-lane Gurugram-Sohna Elevated Road and its inclusion in the Delhi-Mumbai Industrial Corridor (DMIC), has significantly enhanced connectivity to key economic hubs. This has spurred real estate activity, especially in the residential segment.

Sohna's property prices are on the rise
Sohna has seen consistent price growth, driven by infrastructure improvements and rising demand. Since the pandemic, property prices in the area have steadily increased, nearly doubling since 2019, the report adds. In fact, prices rose by 13% in the first three quarters of 2024 compared to 2023, with current rates averaging between Rs 7,500 and Rs 8,500 per sq ft, and some projects exceeding Rs 10,000 per sq ft, according to the report. Despite this upward trend, Sohna remains one of the more affordable micro-markets in Gurugram. This is especially significant as the city increasingly shifts its focus toward luxury and ultra-luxury segments in the post-pandemic era. In this evolving landscape, Sohna stands out, combining growth potential with accessibility.

Sohna’s: A look at the rental market
Once considered a secondary choice for renters, Sohna’s rental market is beginning to take off. Historically, many renters have favoured locations closer to major commercial hubs, but the post-pandemic landscape has shifted perceptions. As rents in Gurugram have surged sharply, a spillover demand has emerged in Sohna, drawing attention to its potential.

Currently, average monthly rents for a 1,000 sq ft apartment in a gated community range from Rs 25,000 to Rs 30,000 — a significant increase from the Rs 15,000 to Rs. 20,000 range seen in 2019, the report says. The upward trend continues, influenced by the specifications and premium nature of individual properties. With rental yields averaging between 3% and 3.5%, it’s clear that Sohna’s rental market is gradually maturing, paralleling the growth of its residential market. As this evolution unfolds, Sohna is carving out a promising niche in the broader real estate landscape.

Sohna’s residential market: A new era of growth
Post-pandemic, Sohna has witnessed a significant surge in real estate supply. The area has rapidly become the third-largest micro-market for real estate supply in the region, trailing only Dwarka Expressway and New Gurgaon.

To put this growth into perspective, the cumulative supply of properties since 2020 has already surpassed the total inventory accumulated over the entire decade from 2010 to 2020. Most of the available properties in Sohna are relatively new, with an average age of less than four years. Currently, 2BHK units dominate the market, making up 65% of the inventory, followed by 26% for 3BHK units.

Historically, Sohna’s real estate landscape was characterized by affordable housing, largely supported by initiatives like the Deen Dayal Jan Awas Yojna. However, the post-pandemic shift has seen a notable transition towards mid-to-high-end segments. Developers are now focusing on premium offerings to meet evolving homebuyer preferences. This shift is evident in the increasing share of properties priced above Rs. 1 crore, which has more than doubled since 2019, rising to 34% in 2024. As Sohna continues to adapt to these changing dynamics, it stands poised for a bright future in the residential market.

Supply surge and changing dynamics
Post-pandemic, Sohna has witnessed a significant surge in real estate supply. The cumulative supply post-2020 has surpassed the total supply of the previous decade. The market is dominated by 2BHK units, followed by 3BHK units. While affordable housing was once the primary focus, the trend is now shifting towards mid-to-high-end segments, aligning with changing preferences.

Sohna residential property: Key players and projects
In recent years, Sohna has become a vibrant hub for real estate activity, with established developers stepping into the spotlight. Leading the charge is Signature Global, which has dominated the market since the pandemic, launching a series of successful projects. Their flagship development, ‘Signature Global Park,’ has made a significant impact, contributing the highest number of units to the area, the report mentions.

Other notable developers have also made their mark. Ganga Realty is known for its project ‘Ganga Tathastu,’ while MVN Infrastructures Pvt Ltd, Central Park Group, Silverglades, and Ashiana are also contributing to the region’s growth, the report says. The residential pipeline in Sohna looks promising, with over 16,000 new units expected to be delivered in the next three years.

Developers like Ganga Realty, Central Park Group, Eldeco, Paras, and Signature Global have secured land parcels and are actively engaged in both ongoing and upcoming projects, the report says. This flurry of activity signals strong confidence in Sohna's potential for growth, marking it as a key player in Gurugram's evolving real estate landscape.

Sohna is attracting both investors and end-users. While affordability remains a key driver, with 71% of buyers seeking properties below Rs 1 crore, a significant portion is targeting the Rs 1-2 crore and above-Rs 2 crore segments, driven by investor interest.

Future prospects
With ongoing infrastructure developments and increasing developer and buyer interest, Sohna is poised to become a significant residential hub in Gurugram. The region offers a diverse range of residential options for both investors and end-users.