Despite housing sales volumes plateauing, India’s residential real estate market is projected to witness a sharp 19% growth in sales value in FY26, driven by surging demand for luxury and premium homes, rising property prices, and a shift toward larger, amenity-rich living spaces across key metropolitan areas.
India’s housing market is undergoing a significant transformation with an anticipated 19% increase in home sales value for the fiscal year 2025-26, even as the number of units sold stabilizes. According to a report by ANAROCK Group, the combined sales value in the top seven cities—including Mumbai, Delhi-NCR, Bengaluru, Pune, Chennai, Hyderabad, and Kolkata—is expected to surpass ₹6.65 lakh crore, up from ₹5.59 lakh crore in FY25.
This spike in sales value is primarily driven by a growing preference for luxury and upper mid-segment homes. Buyers are gravitating towards larger properties with superior amenities, pushing average prices higher despite overall demand pressures. The first half of FY26 has already seen over 1.93 lakh home sales worth ₹2.98 lakh crore.
Cities like NCR and Chennai lead the momentum, reflecting strong residential demand and higher value transactions compared to more price-sensitive markets like Mumbai Metropolitan Region (MMR).
Industry experts suggest that developers’ increasing focus on luxury offerings, coupled with evolving buyer preferences and steady income growth, are reshaping the Indian housing market towards value-driven growth.
Key Highlights:
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Projected 19% year-on-year growth in home sales value in FY26 across top 7 cities.
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Sales volumes expected to stabilize or grow moderately by up to 4%.
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Luxury and premium housing segments dominate value growth.
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Buyers prefer larger homes with better amenities, driving up prices.
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NCR and Chennai lead in sales value momentum; MMR lagging comparatively.
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1.93 lakh homes sold in H1 FY26 generating ₹2.98 lakh crore in sales value.
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Real estate developers align supply with rising demand for high-value properties.
Sources: ANI Today, ANAROCK Research, Economic Times, Construction Week Online