Housing sales across India's 75 cities experienced a 16% increase in value, reaching Rs 9,32,965 crore during the fiscal year 2025-26, according to data released by Liases Foras Real Estate Rating & Research Pvt Ltd. Despite a 1% decline in the number of units sold, the market saw a significant rise in sales value, indicating a shift towards higher-priced properties or increased property values.
The report highlighted that new residential property supply surged by 10% to 6,20,842 units, contributing to a 13% increase in unsold inventory, which now stands at approximately 12 lakh units. The top eight cities saw a slight decline in sales to 5,07,850 units from 5,09,211 units the previous year, while tier II-III cities experienced a 4% drop to 2,01,943 units.
Among the major metropolitan areas, the Mumbai Metropolitan Region (MMR) led with a 23.7% share of national sales and a 4% year-on-year growth. Bengaluru followed with a 9.9% market share, whereas Pune, despite being second in marketable supply, recorded a 25% decline in annual sales.
The housing price index increased by 3% annually during the 2025-26 fiscal year, reflecting a steady rise in property prices. The report also noted the presence of nearly 18,000 real estate developers operating across these 75 cities.
The data from Liases Foras underscores the resilience of the Indian housing market amid economic uncertainties, with a notable increase in sales value despite a slight dip in unit sales. This trend suggests a potential shift in consumer preferences towards premium housing segments.
Background
The Indian housing market has been navigating economic challenges, including inflation and fluctuating interest rates, which have impacted consumer purchasing power. Despite these hurdles, the sector has shown resilience, with increased sales value suggesting a shift towards premium properties. The rise in unsold inventory, however, poses questions about future market adjustments.
Looking ahead, market observers will be keenly watching how the increase in unsold inventory impacts future pricing and sales dynamics, as well as the potential for further growth in the premium housing sector.
