New Delhi: Property prices in Chennai surged by 16% in 2024, driven by increased demand and rising input costs, according to a report by digital real estate advisory platform PropTiger.com.

The report, titled Real Insight: Residential Annual Round-up 2024, stated that the average property price in Chennai stood at ₹7,173 per sq ft at the end of 2024, marginally higher than Hyderabad, where prices averaged ₹7,000 per sq ft.

Sales of residential units in Chennai rose 8% year-on-year, while new project launches grew by 11% in 2024. The mid-segment housing category, comprising properties priced up to ₹75 lakh, accounted for 52% of overall demand, with 2BHK units emerging as the most preferred configuration.

"Chennai's real estate market has shown steady growth over the past five years. Infrastructure initiatives, such as the planned development along the 62-km Outer Ring Road by the Chennai Metropolitan Development Authority, signal strong future prospects," said Dhruv Agarwala, Group CEO, Housing.com and PropTiger.com.

He added that policy support and infrastructure upgrades have boosted consumer confidence, prompting leading developers to launch new projects in the city.

The outlook for 2025 remains positive, with Chennai increasingly emerging as a preferred residential destination due to its improving liveability index.