Housing Sales Dip 9% in Q3 2025 in Top Indian Cities, but Luxury Demand Boosts Sales Value by 14%
Residential sales in India's seven largest real estate markets fell by 9% year-on-year in Q3 2025, but the total value of transactions rose by 14%, driven by higher demand for luxury and ultra-luxury properties.
Housing SalesReal EstateLuxury HousingResidential MarketIndian CitiesReal Estate NewsOct 06, 2025
Yet the aggregate sales value climbed about 14%, from roughly Rs 1.33 lakh crore a year earlier to Rs 1.52 lakh crore in Q3 2025. This divergence points to a heavier weighting of luxury and ultra-luxury transactions in the quarter.
The Mumbai Metropolitan Region (MMR) continued to dominate volumes, recording the highest quarterly sales at 30,260 units, followed by Pune with 16,620 units. Together, MMR and Pune accounted for nearly 48% of total sales in the top seven cities during the quarter. While most cities saw annual declines in sales, Chennai and Kolkata bucked the trend, posting annual increases of 33% and 4%, respectively.
Segmental composition of new supply tilted heavily towards luxury housing. Units priced above Rs 1.5 crore accounted for the largest share of fresh launches at 38%, followed by the premium bracket (Rs 80 lakh–1.5 crore) at 24% and the mid segment (Rs 40–80 lakh) at 23%. The affordable segment (under Rs 40 lakh) represented the smallest share at 16%.
New launches rose modestly, with 96,690 units introduced in Q3 2025, a 3% year-on-year uptick from 93,750 units in Q3 2024. MMR again led supply, adding 29,565 units, while Pune added 19,375 units. Notably, Pune, Kolkata, and Chennai recorded strong annual increases in new launches, with Pune and Kolkata posting double-digit gains and Chennai seeing a 38% rise, even as other cities recorded declines.
Available unsold inventory across the seven cities saw only a marginal drop, standing at 5,61,756 units at the end of Q3 2025 compared to 5,64,415 units a year earlier. On a quarterly basis, inventory remained broadly steady.
Price momentum cooled but remained positive. Average residential rates across the seven cities rose by 9% year-on-year to Rs 9,105 per sq ft in Q3 2025, from Rs 8,390 per sq ft a year earlier. The National Capital Region recorded the steepest annual rise in prices at 24%, while Bengaluru saw prices climb by 10%.
“ANAROCK data shows a 9% annual housing sales decline in the top seven cities, clocking in at approximately 97,080 units in Q3 2025 against 1,07,060 units in Q3 2024,” said Anuj Puri, Chairman, ANAROCK Group. “However, sales continued to outstrip new supply in the quarter, reflecting continued market health.” Puri added that the jump in sales value indicates a tilt toward higher-ticket transactions.
City-level detail showed divergent dynamics. MMR’s new supply had a healthy share of affordable launches (over 35% of its Q3 additions), while Pune’s expansion was concentrated in the mid and upper-mid tiers (around 74% of its supply). In NCR, a big chunk, roughly 70% of Q3 launches, were in the luxury band, underscoring the region’s premium momentum.
Despite the monsoon and the traditional ‘shraad’ period, sales edged up 1% on a quarterly basis. Looking ahead, ANAROCK observers flagged several tailwinds, including festivals that typically lift demand, and headwinds such as affordability pressures and rising construction costs. The firm also suggested monitoring external factors such as changes to H-1B visa norms in the United States for any indirect impact on homebuying sentiment among globalized buyer cohorts.
Frequently Asked Questions
What was the overall trend in housing sales in Q3 2025 across the top seven Indian cities?
Housing sales across the top seven Indian cities fell by 9% year-on-year in Q3 2025, despite a 14% increase in the total value of transactions, driven by higher demand for luxury and ultra-luxury properties.
Which cities saw an increase in housing sales in Q3 2025 compared to the previous year?
Chennai and Kolkata saw increases in housing sales, with Chennai posting a 33% increase and Kolkata a 4% increase.
What segment of the housing market saw the highest share of new launches in Q3 2025?
The luxury segment, with units priced above Rs 1.5 crore, saw the highest share of new launches at 38%.
How did the residential prices change in Q3 2025 compared to the previous year?
Average residential rates across the seven cities rose by 9% year-on-year to Rs 9,105 per sq ft in Q3 2025.
What factors are expected to influence the housing market in the coming quarters?
Several factors, including festivals that typically lift demand, affordability pressures, rising construction costs, and changes to H-1B visa norms in the United States, are expected to influence the housing market in the coming quarters.
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