Housing sales fell 4 percent annually in the January-March quarter to 84,827 units across eight major cities, driven by high property prices and market uncertainty stemming from the West Asia conflict, a Knight Frank report said.
As per the report, the housing sales stood at 88,361 units in the January-March period last year. Sales of residential properties declined in Mumbai, Delhi-NCR, and Pune, but increased in the other five cities — Bengaluru, Hyderabad, Chennai, Ahmedabad and Kolkata.
What is causing sales dip
According to Shishir Baijal, International Partner, Chairman & Managing Director, Knight Frank India, the moderation in residential demand warrants closer attention, particularly as it follows a sustained multi-year upcycle.
“While this phase can be partly attributed to a natural consolidation after strong growth, the continued rise in prices alongside softening volumes indicates growing pressure on affordability and absorption,” he said.
At the same time, Baijal said the volatile geopolitical situation has also resulted in subdued interest in residential demand.
Sales in major cities
As per the data from Knight Frank, housing sales in Mumbai fell 7 percent in January-March to 23,185 units as compared to the year-ago period. In Delhi-NCR, the sales fell 11 percent annually to 12,734 units in the first quarter of this calendar year.
As per the report, Pune witnessed an annual fall of 11 percent to 12,711 units. However, the sales of residential properties in Bengaluru rose 5 percent annually to 13,092 units in January-March. Hyderabad saw an annual growth of 1 percent to 9,541 units, while Chennai witnessed a 9 percent rise to 4,763 units.
Furthermore, the report points out that in Ahmedabad, sales grew 2 percent to 4,758 units while the housing sales in Kolkata went up by 5 percent to 4,043 units in January-March this year, as compared to the same period of 2025.
As per the report, the new supply also fell 2 percent annually to 94,855 units in January-March.