Sales Slip, Aspirations Rise: India’s Homebuyers Eye Premium Spaces Amid Market Slowdown

In the first quarter of 2025, housing sales declined by 12% in India’s top seven cities, according to JLL India’s latest report. Sales fell to 65,246 units in the period running from January to March 2025, down from 74,486 in the same time last year, suggesting a slowdown in buyer activity. Mumbai, and Bengaluru both reported a 10% decrease in sales, while Delhi NCR experienced a larger drop of 18%. At 8%, Hyderabad was not as bad off, but Chennai experienced the largest drop at 21%. 

 

Nonetheless, Bengaluru, Mumbai, and Pune continued to dominate the market, combined accounting for 66% of total sales. The drop was mainly attributed to buyer demand softening for homes below ₹1 crore, the segment of the market that has been leading the way. However, ongoing strength in the ₹1.5-3 crore, and ₹3-5 crore price bands supported the fall, with the market segment in between even registering 14% quarter-on-quarter growth. 

 

In terms of supply, new launches saw a surge in the premium segment, with properties priced above ₹1 crore showing growth year-on-year of 107%. The report confirms an apparent change of buyer preference for mid and high-end properties where buyer demand of affordable housing was previously, and continued, to fall away.

 

Source: Hindustan Times