Resale Housing Gains Traction as Affordability Tightens in Major Indian Cities

India’s housing resale market has emerged as a primary buying channel rather than a fallback option, driven largely by affordability pressures and premiumisation of new launches, according to industry insiders and experts.

Top Indian markets have been facing affordability pressures recently, with primary residential sales moderating over 2024 and 2025. The premiumisation of new launches has made it increasingly difficult for many buyers to enter the primary market, pushing them towards the resale segment.

The resale market is not just a secondary option anymore; it is becoming a core channel for homebuyers. This shift is particularly evident in major cities like Mumbai, Delhi, Bangalore, and Pune, where property prices have reached unprecedented levels. According to a recent report by a leading real estate consultancy, the average price of a new home in these cities has increased by over 20% in the past two years.

One of the primary reasons for this trend is the significant price gap between new and resale properties. New launches often come with additional costs such as higher taxes, maintenance charges, and premium amenities, making them less accessible to a broader segment of buyers. In contrast, resale homes are often more affordable and can be found in established neighborhoods with well-developed infrastructure.

Moreover, the resale market offers greater flexibility in terms of location and budget. Buyers can find properties in areas that are already developed, with ready access to essential amenities like schools, hospitals, and public transport. This is particularly appealing to young families and first-time buyers who prioritize location and convenience over the latest features and amenities.

However, the shift towards the resale market is not without its challenges. One of the main concerns is the condition of the properties. Resale homes may require significant renovations or repairs, which can add to the overall cost. Additionally, the process of buying a resale property can be more complex, involving negotiations with the current owner and navigating the legal formalities.

Despite these challenges, the demand for resale homes continues to grow. Real estate experts predict that this trend will only intensify in the coming years, as more buyers are priced out of the primary market and turn to the resale segment for their housing needs.

To cater to this growing demand, real estate platforms and brokers are increasingly focusing on the resale market. They are developing tools and services to make the buying process more transparent and efficient, including virtual tours, detailed property listings, and streamlined transaction processes.

In conclusion, the resale housing market in India is no longer a secondary option but a core buying channel. As affordability pressures continue to mount, more buyers are likely to turn to resale properties to find their dream homes. The real estate industry is adapting to this shift, providing more support and resources to make the resale market a viable and attractive option for homebuyers.

Note: This article is based on insights from industry experts and recent market trends. While the information is accurate to the best of our knowledge, it is always advisable to consult a real estate professional before making any significant investment decisions.