BMC Elections 2026: Mumbai Real Estate Market Expected to Boom Post-Polls

India’s richest civic body, the Brihanmumbai Municipal Corporation (BMC), is set to hold its elections on January 15, alongside several other municipal corporations across Maharashtra. For Mumbai’s real estate developers, however, the focus is on January 16, the day the results are announced. Experts anticipate that the city’s property market may see a significant surge in project launches following the civic polls, as developers have largely been in a wait-and-watch mode pending the outcome.

According to experts, there has been a decline in launches in the Mumbai and Pune real estate markets, partly due to stalled green clearances in 2025. However, supply is expected to pick up in the first half of 2026, which could trigger a ‘price war,’ ultimately benefiting homebuyers, they say.

Mumbai real estate launches have slowed in recent times. According to a recent ANAROCK report, supply in the Mumbai Metropolitan Region (MMR) fell by 6% in 2025 compared to 2024. Similarly, a PropEquity report noted a 16% decline in Q4 CY25. Across the top seven Indian cities, housing sales have dropped by 14% in 2025, to 3.95 lakh units, compared to 4.59 lakh units sold in 2024, according to a report released in December 2025 by Anarock, a real estate consultancy firm.

The report attributes the decline in sales to rising property prices, layoffs in the IT sector, geopolitical tensions, and other uncertainties that have impacted India’s residential growth momentum in 2025. In the Mumbai Metropolitan Region (MMR), sales fell by 18% in 2025 compared to 2024, with a total of 1,27,875 units sold. According to data analytics firm PropEquity, housing sales in Mumbai dropped 25% in Q4 CY25, while Pune and Thane recorded declines of 31% and 26%, respectively, during the same period.

Experts predict that several developers have received approvals and are waiting to launch their projects post the BMC elections 2026 results on January 16. “The green clearance issue was resolved 100 days ago when the Supreme Court lifted the stay on approvals. However, launches during Diwali and the festive season could not take place as developers had put projects on hold pending approvals, including RERA registration. We expect these launches to hit the market after the BMC polls in 2026, continuing up to Gudi Padwa in March. The last quarter of the financial year is likely to be particularly busy for new launches,” said a real estate expert.

The green clearance issue stemmed from a National Green Tribunal (NGT) order of 2024 that halted environmental clearances due to alleged lapses in State Environment Impact Assessment Authorities (SEIAA) appointments. With SEIAAs deemed improperly constituted, project approvals across the Mumbai Metropolitan Region and Pune came to a halt. The Supreme Court lifted the stay in August 2025, restoring the authorities’ clearance powers and reviving stalled real estate projects.

The Supreme Court disposed of the writ petition of Vanshakti NGO vs. Union of India and reaffirmed that the SEIAA and the State Expert Appraisal Committee (SEAC) shall continue to be the competent authorities for project-level environmental assessments.

An increase in new launches is expected to put pressure on prices, potentially triggering a ‘price war’ among real estate developers and creating significant room for negotiation, which would benefit homebuyers. However, they noted that pricing will also depend on the demand-supply dynamics in specific localities.

“The year 2026 is likely to be a year of price stabilisation, particularly in Mumbai’s western suburbs. With a surge in supply expected, competition among developers is likely to intensify, leading to more realistic pricing. A significant wave of project launches is anticipated after the BMC elections in 2026, which should further balance the market. This phase is expected to favour homebuyers, many of whom are currently waiting on the sidelines for better options and value,” said Ritesh Mehta, senior director and head (North and West), Residential Services and Developer Initiatives, JLL India.