Home sales across India’s seven largest property markets fell 6% year-on-year in the April-June quarter, with developers selling around 90,715 units against 96,285 units in the same period last year, according to data released by real estate consultancy ANAROCK.
The slowdown comes even as developers pushed ahead with new launches, which rose 7% over the year to roughly 1,06,000 units, even though both figures declined when measured against the previous quarter.
ANAROCK linked the dip in sales to prolonged uncertainty caused by the West Asia conflict and the supply chain disruptions that followed, which appear to have made many prospective buyers more hesitant during the quarter.
A mixed picture across cities
Most of the seven cities tracked saw sales decline over the year, with only Kolkata, Hyderabad and Bengaluru bucking the trend. Kolkata led the gainers with a 10% rise in sales, while Hyderabad and Bengaluru posted smaller increases of 2% and 1%, respectively. Pune fared the worst, with sales falling 15% compared to the same quarter last year.
Between them, the Mumbai Metropolitan Region (MMR) and Bengaluru accounted for nearly half of all homes sold in the quarter, contributing about 43,995 units of the total. MMR remained the single largest market by volume, with approximately 28,710 units sold, even though this represented an 8% drop from last year and a 12% fall from the previous quarter.
According to the report, NCR’s sales declined 6% annually to about 13,365 units, while Chennai recorded a 9% annual fall to roughly 5,135 units. Hyderabad held up better, with sales edging up 2% to around 11,270 units despite a 9% quarterly slide. Kolkata posted the best annual performance of all the cities, with sales climbing to about 3,860 units, though even here, quarterly sales dipped 8%.
Developers keep launching new projects
Even as buyers held back, developers continued bringing new homes to market, led once again by MMR and Bengaluru, which together made up 53% of all units launched in the quarter. MMR alone added about 34,555 new units, a 23% rise over last year, though this was down 14% from the previous quarter. Over half of this new supply, 57%, was priced under Rs 1.5 crore.
Bengaluru recorded the steepest annual jump in launches of any city, with new supply up 41% to around 21,670 units, though it too saw an 11% quarterly decline. Strikingly, 96% of the new homes launched in the city fell in the premium and luxury categories, priced above Rs 80 lakh, pointing to where developers see the strongest demand.
Hyderabad followed closely with a 53% annual rise in new launches, adding about 16,970 units, though down 12% sequentially. More than 82% of this fell in the Rs 80 lakh to Rs 2.5 crore bracket. NCR moved against the grain, with launches falling 40% over the year to roughly 11,205 units and dropping a further 30% from the previous quarter, even as developers concentrated 61% of this reduced supply in the luxury segment above Rs 1.5 crore.
India Housing Market Q1 FY27 (Apr-Jun)7-City Sales, Launches & Price Tracker — ANAROCK Data
| City | Sales (Units) | Sales YoY | Launches (Units) | Launches YoY | Unsold Inventory |
|---|---|---|---|---|---|
| MMR | ~28,710 | -8% | ~34,555 | +23% | — |
| NCR | ~13,365 | -6% | ~11,205 | -40% | Flat YoY |
| Hyderabad | ~11,270 | +2% | ~16,970 | +53% | — |
| Chennai | ~5,135 | -9% | ~5,315 | -38% | — |
| Kolkata | ~3,860 | +10% | ~3,550 | +42% | — |
| Bengaluru | — | +1% | ~21,670 | +41% | ~79,180 (+34%) |
| Pune | — | -15% | ~12,735 | -10% | — |
Pune’s new launches fell 10% annually to about 12,735 units, with 78% of supply in the mid and premium segments between Rs 40 lakh and Rs 1.5 crore. Chennai saw the sharpest annual decline in launches among all cities, down 38% to roughly 5,315 units, while Kolkata’s new supply rose 42% annually to about 3,550 units, even as it fell 32% from the previous quarter.
“These readings are along expected lines, as the Middle East war’s impacts on the entire sector were all too obvious,” Anuj Puri, Chairman of ANAROCK Group, said. He said the data point to a more balanced housing market, where new supply is catching up with sales as growth moderates across most cities.
Sales momentum in premium housing
According to Puri, the strongest sales momentum is now visible in premium housing, employment hubs linked to Gulf Cooperation Council countries, and infrastructure-driven corridors, while disruptions from the war and AI-related uncertainty in the IT and ITeS sector have pushed more buyers onto the fence.
He added that new launches remained strong on an annual basis partly because large, listed developers went ahead with projects on land parcels they had acquired through 2025. However, he noted that the sharper quarterly decline in launches suggests that softer buyer sentiment may have prompted some developers to slow the pace of new project rollouts.
Prices continue to climb, though more slowly
Average home prices across the seven cities rose 7% over the year, though the quarterly increase was a far more modest 1%, reflecting a slowdown from the double-digit annual price growth seen in these markets last year.
NCR registered the sharpest annual price increase at 13%, even as its quarterly rise was a comparatively mild 2%. Bengaluru followed with an 8% annual increase in average prices.
Unsold stock builds up
Unsold housing inventory across the seven cities grew 10% over the year, crossing 6.16 lakh units by the end of the quarter, up from approximately 5.62 lakh units a year earlier. Bengaluru saw the sharpest build-up in unsold stock, with inventory rising 34% annually to about 79,180 units from 58,890 units the previous year. NCR was the only city where inventory levels stayed largely flat.
Looking at the price segments developers are building for, homes priced between Rs 80 lakh and Rs 1.5 crore made up the largest share of new supply at 27%, followed by the Rs 1.5 crore to Rs 2.5 crore range at 25%. Properties priced above Rs 2.5 crore accounted for 22% of new supply, while the mid-segment between Rs 40 lakh and Rs 80 lakh made up 19%. Affordable housing continued its steady decline, shrinking to just 6% of total new supply in the quarter.