NEW DELHI: Housing sales in India’s top seven cities saw a sequential decline of 7% in the January-March quarter of 2026, influenced by global uncertainties. Nonetheless, demand remained robust year-on-year, according to Anarock Research.
A total of 1,01,675 units valued at ₹1.51 lakh crore were sold in Q1 2026, compared to 1,08,970 units worth ₹1.60 lakh crore in the previous quarter. Year-on-year, sales increased by 9% from approximately 93,280 units sold in Q1 2025, while in value, sales dropped 5% quarter-on-quarter but climbed 6% year-on-year.
Geopolitical tensions and rising input costs contributed to reduced buyer sentiment during this period, resulting in the quarterly sales dip.
Anuj Puri, chairman of the company, stated, “The 7% decline in sales highlights the effect of global uncertainties, as rising oil and construction costs have impacted sentiment. Additionally, there is a noticeable decrease in demand from Middle Eastern investors, who typically contribute significantly to housing investments in India.”
MMR and Bengaluru Lead Sales
The Mumbai Metropolitan Region (MMR) and Bengaluru accounted for nearly 48% of total housing sales during this quarter.
Most cities experienced a decrease in sales compared to the previous quarter, with Chennai recording the highest decline of 18%. Meanwhile, NCR, Pune, and Kolkata saw reductions between 8-10%, while Hyderabad remained stable.
Chennai, however, achieved the highest annual growth rate of 31%, reflecting a low base effect.
New Launches Show Resilience
New housing supply remained steady, with around 1,26,265 units launched in Q1 2026, which is a 2% increase from the previous quarter and 26% higher compared to the same period last year.
MMR and Bengaluru led the supply additions, contributing to over half of total launches. Hyderabad reported the highest quarterly growth in new supply at 46%, while Chennai, NCR, Pune, and Kolkata experienced declines in launches.
Developers continued to focus on mid and premium housing segments, with homes priced between ₹1.5 crore and ₹2.5 crore accounting for 32% of new supply, followed by units above ₹2.5 crore at 20%. Affordable housing (below ₹40 lakh) still saw limited availability.
Puri remarked on a key shift this quarter where new launches exceeded sales volumes, reversing the post-pandemic trend where sales surpassed supply, leading to higher overall inventory levels.
Rising Inventory Levels
Unsold inventory in the top seven cities rose by 4% quarter-on-quarter and 7% year-on-year, exceeding 6.01 lakh units by the end of Q1 2026.
Bengaluru witnessed the greatest increase in unsold stock, with inventory growing by 12% quarterly and 24% annually, followed closely by Hyderabad.
Steady Price Growth
Residential prices continued to rise despite the sales slowdown, with a 2% increase quarter-on-quarter and a 7% increase year-on-year across top cities.
NCR recorded the highest annual price appreciation at over 15%, largely due to increased supply in luxury and ultra-luxury segments, followed by Bengaluru with an 8% rise.
