Mumbai: India’s housing market remained broadly stable during January–September 2026, although city performance and buyer preferences increasingly diverged, according to Knight Frank India’s latest residential real estate report.
Across eight major markets, residential sales totalled 2,58,238 units, broadly unchanged from a year earlier. Combined sales in seven markets outside the National Capital Region increased 2%, highlighting continued demand despite NCR’s weaker performance.
Mumbai Leads, NCR Slows
Mumbai retained its position as India’s largest housing market, selling 72,804 homes, up 1% annually. Bengaluru followed with 43,140 units, registering 5% growth, while Pune recorded 36,402 sales, broadly unchanged.
Hyderabad, Ahmedabad, Chennai and Kolkata posted growth between 2% and 4%.
NCR sales fell 11% to 35,574 units. The decline was concentrated in homes priced between ₹5 crore and ₹10 crore, where transactions dropped 39% to 4,033 units. Gurugram accounted for 57% of NCR’s unsold inventory.
Premium Housing Gains Ground
Homes costing above ₹1 crore accounted for 55% of total sales, compared with 50% a year earlier. The ₹1–2 crore category remained the largest segment, recording 77,087 sales and 6.8% growth.
Demand was stronger in the ₹2–5 crore bracket, where sales climbed 19.4% to 51,501 units. Chennai recorded 54% growth in this category.
Meanwhile, homes below ₹50 lakh saw sales fall 14% to 47,660 units, reducing their market share to 18%. The ₹50 lakh–₹1 crore category declined 5.9% to 69,380 units.
Supply Rises, Buyers Turn Selective
Developers launched 2,79,899 homes during the nine months, up 4%. Third-quarter launches reached 92,549 units, also rising 4%. New supply exceeded sales for the sixteenth consecutive quarter.
Inventory clearance time increased marginally to 6.1 quarters, while housing prices rose between 3% and 17% across markets.
Knight Frank India chairman Shishir Baijal described the trend as normalisation rather than a widespread slowdown. He said income growth, suitable supply and local demand would increasingly shape housing market performance across major urban centres as interest-rate benefits moderate.
