Mumbai Home Registrations Drop 4% Year-on-Year in May Despite Property Value Rise

Mumbai's housing market has seen a notable shift in May 2025, with a 4% year-on-year (YoY) decline in home registrations, totaling 11,565 units. This represents a 12% month-on-month (MoM) decrease from April 2025. Despite the drop in the number of registrations, the total value of registrations rose by 3% YoY to Rs 177 billion. On a monthly basis, the registration value dropped by 5%.

In the first five months of 2025 (January to May), Mumbai recorded 61,461 housing unit registrations, which is a 6% increase compared to the same period last year. By value, registrations rose by 17% YoY to Rs 949 billion. The average ticket size of the registered properties also increased by 11% YoY to Rs 14.7 million.

In the broader context of Maharashtra, property registrations in May 2025 stood at 148,080 units. This represents a 2% decline YoY but a 2% increase compared to April 2025. The state's housing market continues to show resilience, with Mumbai being a key contributor.

The report from Nuvama Research highlights that 80% of the total registrations in Mumbai were residential properties. Compact homes, those below 1,000 square feet, continued to dominate the market. Among these, homes sized between 500 and 1,000 square feet were the most preferred, accounting for about 44% of all registrations. Larger homes, those above 1,000 square feet, made up 17% of total registrations in May 2025, compared to 15% in May 2024. This share remained flat on a monthly basis.

The central and western suburbs were the most active areas, contributing to 87% of the total registrations during the month. The report noted a 1% YoY increase in the share of registrations from central and south Mumbai. This indicates a rise in demand for premium homes in these areas, likely due to new project launches and ongoing infrastructure development.

Looking ahead, the report suggests that a robust launch trajectory and a potential mortgage rate cut could improve sales in Mumbai. Year-to-date registrations in 2025 stood at 64,461 units, up 6% YoY. A strong pipeline of upcoming housing projects and a possible reduction in mortgage rates could lead to better sales in Mumbai in the coming months.

Overall, the Mumbai property market remains dynamic, with compact homes continuing to dominate and premium segments showing growth. The city's strategic location and ongoing infrastructure projects are expected to boost the housing sector's performance in the near future.