Housing Sales in Mumbai and Pune Drop 17%: A Temporary Market Adjustment
Housing sales in the Mumbai region and Pune declined by 17% in the July-September period, primarily due to higher property prices. Real estate experts predict a rebound in demand during the festive season.
Housing SalesReal EstateMumbaiPunePropequityReal Estate PuneOct 03, 2025
Sales stood at 59,816 units in the same period last year. Thane, a key area in the Mumbai Metropolitan Region (MMR), saw a 28% decline in sales to 14,877 units from 20,620 units. In Mumbai city, sales decreased by 8% to 9,691 units from 10,480 units, while Navi Mumbai witnessed a 6% fall to 7,212 units from 7,650 units.
Pune, another major housing market in Maharashtra, also faced a 16% drop in sales to 17,762 units during July-September 2025, down from 21,066 units in the corresponding period of the previous year.
Commenting on the market scenario in MMR, CREDAI's Mumbai chapter, the apex body of real estate developers, stated that the decline in sales during the September quarter is not a cause for concern. They predict that demand will bounce back during the festive season, which began on September 22.
Sukhraj Nahar, President of CREDAI-MCHI, emphasized, 'While Q3 reflected a period of market recalibration, the demand drivers for housing in MMR and Pune remain extremely robust. Infrastructure upgrades like Metro corridors, coastal roads, and NMIA continue to act as strong long-term catalysts.'
Rushi Mehta, Secretary of CREDAI-MCHI, noted that the end-user demand is still strong. 'Short-term fluctuations are largely due to the high base effect and cautious launches. Developers are aligning supply with genuine demand, which will ensure long-term market stability,' he explained.
Nikunj Sanghavi, Treasurer of CREDAI-MCHI, highlighted that MMR and Pune together account for nearly half of India's housing market, underscoring their dominance. 'Investor confidence remains strong, supported by stable interest rates and regulatory clarity under RERA,' he added.
Looking ahead, Sanghavi believes the second half of FY25 will see an uptick in absorption, driven by festive demand and policy support for affordable and mid-segment housing. 'We believe the second half of FY25 will see an uptick in absorption, aided by festive demand and policy push towards affordable and mid-segment housing,' he said.
In the Pune market, Rohit Gera, Managing Director of Gera Developments, noted that the decline in sales reflects a temporary softening as buyers are taking a more considered approach amid broader economic factors. 'On a positive note, new launches in Pune rose by 49% YoY, signaling strong developer confidence regarding future demand,' he said.
Pune continues to be a preferred destination for homebuyers due to its robust employment ecosystem, growing infrastructure, and end-user driven demand. 'With recent GST reforms and a repo rate cut, homebuyer sentiment is expected to get a boost, making housing more accessible and attractive,' Gera added.
According to PropEquity, the housing sales in India's top 9 cities fell 4% YoY (year-on-year) and 1% QoQ (quarter on quarter) to 1,00,370 units in the July-September period. The top 9 cities are Bengaluru, Hyderabad, Chennai, Mumbai, Navi Mumbai, Thane, Pune, Kolkata, and Delhi-NCR.
Despite the current slowdown, experts believe that with the festive season and ongoing infrastructure projects, sales momentum is likely to pick up in the coming quarters.
Frequently Asked Questions
What caused the decline in housing sales in Mumbai and Pune?
The decline in housing sales is primarily attributed to a sharp increase in residential property prices, which has made it more challenging for buyers to enter the market.
How do real estate experts view the current market situation?
Real estate experts view the current decline as a temporary market adjustment. They predict a rebound in demand during the festive season and believe that long-term infrastructure projects will continue to drive growth.
Which cities are included in the top 9 housing markets in India?
The top 9 cities in India's housing market, as per PropEquity, are Bengaluru, Hyderabad, Chennai, Mumbai, Navi Mumbai, Thane, Pune, Kolkata, and Delhi-NCR.
What measures are being taken to boost homebuyer sentiment?
Recent GST reforms and a repo rate cut are expected to boost homebuyer sentiment, making housing more accessible and attractive. Additionally, ongoing infrastructure projects are expected to drive demand in the long term.
What is the outlook for the second half of FY25?
The outlook for the second half of FY25 is positive, with experts predicting an uptick in absorption driven by festive demand and policy support for affordable and mid-segment housing.
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