Indian Housing Market Sees Modest Growth Amidst Shifting Dynamics in Q3 2026

Quarterly Housing Sales Overview

During the third quarter of 2026 (July-September), the Indian housing market witnessed a modest upward trend in sales volume and new project launches across the nation's top seven metropolitan areas. According to a report by Anarock Research, housing sales increased by 3% year-on-year, reaching approximately 1,00,220 units, compared to 97,080 units in Q3 2025. The total value of these sales saw a 2% rise, amounting to approximately ₹1.55 lakh crore.

City-wise Performance

• Mumbai Metropolitan Region (MMR) led the sales chart with about 31,750 units, marking a 5% annual growth.
• Bengaluru followed, registering 16,670 units sold, an impressive 12% annual increase.
• Together, MMR and Bengaluru accounted for nearly half (48%) of the total sales across the top seven cities.
• Hyderabad recorded the highest annual growth rate in sales at 15%, with 12,970 units sold.

Conversely, several major cities experienced a decline in sales during the same period:

• Pune saw a 6% decrease, with 15,690 units sold.
• National Capital Region (NCR) sales declined by 1% annually to 13,765 units.
• Chennai and Kolkata recorded annual declines of 10% and 4%, respectively.

New Launches and Inventory

New housing supply demonstrated a more robust growth, increasing by 18% year-on-year to approximately 1,14,320 units in Q3 2026, up from 96,690 units in Q3 2025.

• MMR spearheaded new supply with about 37,500 units, a 27% annual rise.
• Hyderabad reported a significant 120% increase in new launches, adding 18,950 units.
• Pune (18,730 units), Bengaluru (17,720 units), and NCR (approximately 10,900 units) also contributed substantially.

These four regions—MMR, Pune, Bengaluru, and Hyderabad—collectively accounted for 81% of the total new supply.

Price Segments and Inventory Levels

The mid-to-high luxury segment dominated new launches, with homes priced between ₹80 lakh and ₹1.5 crore comprising 34% of the market, followed by the ₹1.5 crore-₹2.5 crore segment at 24%. The affordable segments (sub-₹40 lakh and ₹40 lakh-₹80 lakh) constituted 14% and 17% of new launches, respectively.

The available housing inventory across the top seven cities increased by 12% year-on-year, reaching approximately 6.31 lakh units by the end of Q3 2026. Residential property prices also saw an average increase of 7% across these cities, with NCR recording the highest appreciation at 12%, followed by Bengaluru at 8%. Market experts anticipate continued demand during the festive season, supported by stable borrowing costs and new project introductions, although buyers are expected to remain discerning given rising property prices and evolving affordability concerns.