Indian Real Estate Market Sees Robust Growth in Q2 2025: Key Cities Lead the Surge
India's housing market witnesses a 3.5% growth in Q2 2025, driven by strong demand and significant infrastructure projects in major cities.
Real EstateHousing MarketInfrastructureProperty DemandPrice AppreciationReal Estate NewsJul 07, 2025
The Q2 2025 PropIndex shows demand for residential property grew 4.6% QoQ, indicating a healthy and dynamic market. However, year-on-year (YoY) demand remained largely flat with just a 0.3% uptick, suggesting a period of stabilization following sharp post-pandemic rebounds.
A notable trend this quarter was a slowdown in new housing supply, which hit its lowest level in five quarters. Despite this, buyer appetite remained strong—especially in the affordable housing segment. Properties priced below ₹30 lakh and compact 1BHK units saw demand consistently outstripping supply, fuelling competitive pricing pressures.
Regionally, India’s IT hubs—Bengaluru, Hyderabad, Gurugram, and Noida—continued to show a clear preference for larger homes, with 2BHK and 3BHK units making up nearly 80% of demand in these markets. Meanwhile, the Mumbai Metropolitan Region (MMR) remained focused on compact living, with 1BHK and 2BHK configurations leading buyer interest.
Cities with major ongoing infrastructure projects recorded the strongest price appreciation. Pune (up 39.4% YoY), Greater Noida (35.3% YoY), and Kolkata (33.2% YoY) stood out thanks to improved connectivity and landmark developments such as the Navi Mumbai International Airport and Mumbai Trans Harbour Link.
Commenting on the findings, Magicbricks Chief Marketing Officer Prasun Kumar said, “The Q2 2025 PropIndex clearly indicates a maturing Indian real estate market, driven by genuine end-user demand and the transformative impact of infrastructure.”
As India’s residential real estate market evolves, analysts expect the combination of solid end-user demand, strategic infrastructure investment, and policy support to keep the growth trajectory positive in the coming quarters.
Frequently Asked Questions
What is the overall growth in India's residential real estate market in Q2 2025?
India’s residential real estate market witnessed a 3.5% growth in Q2 2025, according to the Magicbricks PropIndex report.
How did the demand for residential property change in Q2 2025 compared to the previous quarter?
The demand for residential property grew 4.6% quarter-on-quarter (QoQ) in Q2 2025.
Which segment of the housing market saw the highest demand in Q2 2025?
The affordable housing segment, particularly properties priced below ₹30 lakh and compact 1BHK units, saw the highest demand in Q2 2025.
Which cities showed the strongest price appreciation in Q2 2025?
Pune, Greater Noida, and Kolkata showed the strongest price appreciation in Q2 2025, with year-on-year (YoY) increases of 39.4%, 35.3%, and 33.2% respectively.
What factors are driving the growth in India's residential real estate market?
The growth in India's residential real estate market is driven by strong demand, robust buyer confidence, and significant infrastructure development across key cities.
Related News Articles
Hardik Pandya's Net Worth: A Closer Look at His Wealth and Assets
From his lucrative IPL contracts to his impressive real estate portfolio
Boosting Realty Affordability: Experts Call for Policy Shifts and Infra Improvements
Industry experts emphasize the need for policy changes and infrastructure development to address affordability issues in the real estate market.
Pune's Real Estate Empire: Minor's Father in Custody Over Cheating Case
A Pune court has allowed the police to take custody of the father of the minor accused in the Porsche crash case, in a cheating case registered against him at Kondhwa police station.
Revolutionizing Traffic Management: Pune Police, PMC, and Google Collaborate to Improve Road Infrastructure
Pune takes a significant step towards reducing traffic congestion and travel time with the collaboration of Pune Police, PMC, and Google on 32 main roads.
New Developments in Rs 100 Crore Real Estate Investment Fraud
Prospect Realty, a firm registered before the sub-registrar of Salcete, Margao, is at the center of a massive Rs 100 crore investment fraud. The firm, engaged in the real estate business, has been accused of misleading investors with false promises. Myron
Maharashtra Government to Mandate Precast Construction for Mumbai Real Estate
The Maharashtra government is working on a policy to make precast construction mandatory for real estate projects in Mumbai, aiming to streamline construction processes and enhance building quality.