Residential Property Launches Drop 5% in H1 CY25 Amid Market Uncertainty: CREDAI Report
India's residential real estate market has seen a 5% decline in new housing project launches in the first half of CY25, according to a report by CREDAI and CRE Matrix. Despite this, sales values have increased by 9%.
Real EstateHousing MarketCredaiProperty LaunchesSales ValueReal Estate NewsAug 02, 2025
Many experts suggest that the developers are currently taking a cautious approach to launches due to increasing construction costs and uncertainty in the market.
Despite fewer launches, overall housing sales in major cities hit a staggering ₹3.6 lakh crore, which is up 9% from ₹3.3 lakh crore noted in H1 CY24. The average price of homes sold has increased as well. The average price rose from ₹1.13 crore in H2 CY23 to ₹1.42 crore in H1 CY25, suggesting that more buyers are opting to purchase premium or luxury homes.
City-Specific Highlights
Delhi-NCR : Sales value grew, and the region’s share of total sales value was 26% of the overall sales value, up from 23%. Homes priced above ₹3 crore made up 73% of NCR’s total sales value, indicating that although the number of units is small, sales were quite high.
Mumbai Metropolitan Region (MMR) : Region retained a share of overall revenue of 23%, with around 75,000 homes sold during the year, a modest increase for the region, but an average home price increase of 16% is noteworthy.
Chennai : The ratio of sales value change to units sold was significant at 23% on 11,000 units. The number of new launches increased from 14,000 to 19,000. Homes priced below ₹70 lakh lost market share from 23% to 17%, however.
Bengaluru : Sold around 30,000 units, but that still ended with a 4% increase in sales value. The average home price went up by 17%; however, the market share for homes priced ₹70 lakh and ₹1.5 crore dropped from 38% to 32%.
Hyderabad : The revenue market share saw a sharp decline, falling from 21% in H2 CY’23 to just 16% in H1 CY’25. On a brighter note, the average ticket size of homes sold rose significantly—from ₹1.13 crore in H2 CY’23 to ₹1.42 crore in H1 CY’25, according to the data.
Ahmedabad : Sales value increased on a share that fell 61% in launches. The number of launches dropped from 31,000 to 11,000, but total sales were still up by 3% and total sales value increased by 10% to ₹21,849 crore.
In Hyderabad, sales value rose slightly by 2%, but the number of homes sold dropped by 11%. Still, developers launched 42,000 new units, almost double from the previous 23,000, showing optimism despite slow demand.
Frequently Asked Questions
What is the main reason for the decline in new housing project launches in India?
The main reason for the decline in new housing project launches in India is the increasing construction costs and market uncertainty, which has made developers more cautious.
How has the average home price changed in H1 CY25 compared to previous years?
The average home price in H1 CY25 has increased from ₹1.13 crore in H2 CY23 to ₹1.42 crore, indicating a significant rise in the value of homes sold.
Which region saw the highest increase in sales value?
Delhi-NCR saw the highest increase in sales value, with the region’s share of total sales value growing from 23% to 26%.
What is the trend in home prices in Bengaluru?
In Bengaluru, the average home price increased by 17%, but the market share for homes priced between ₹70 lakh and ₹1.5 crore dropped from 38% to 32%.
How did Hyderabad perform in terms of new launches and sales value?
Hyderabad saw a significant increase in new launches, from 23,000 to 42,000 units, despite a 11% drop in the number of homes sold. The sales value increased slightly by 2%.
Related News Articles
Elevating Civil Aviation: Mohol's Pioneering Role in Pune
Discover how Mohol is driving growth in Pune's civil aviation sector, with insights from Hemant Rasne, former Mayor and BJP leader.
Budget 2024: A Boost to Sustainable Growth in Real Estate
The Union Budget 2024 focuses on MSMEs, employment, skilling, youth, and middle-class, with indirect benefits to the real estate sector through job creation, infrastructure, and urban redevelopment.
Dubai Real Estate Market Sets AED 141.9 Billion Quarterly Sales Record in Q3 2024
Dubai’s real estate market achieved a significant milestone in Q3 2024, with total sales reaching AED 141.9 billion, marking a new all-time high for a single quarter. This achievement surpassed the previous record of AED 124.07 billion set in Q2 2024, ref
Elan Group Gets a Boost with Rs 1200 Crore from Kotak Real Estate Fund
The investment will serve as growth capital, helping Elan Group cement its position in the thriving real estate market of Gurugram. This strategic move is expected to accelerate the company's expansion and development projects in the region.
Delhi-NCR: The Metro City Witnessing a Massive Surge in Housing Prices
The report suggests that the price appreciation in Delhi-NCR is attributed to rising demand for high-end properties. Read more to know the details.
Radisson Resort Khopoli Launches as a Luxurious Getaway Near Mumbai and Pune
Radisson Hotel Group has expanded its footprint in Maharashtra with the opening of Radisson Resort Khopoli, offering a premium retreat for travelers near Mumbai and Pune.