India’s housing market saw a moderation in sales momentum in 2025, with residential sales across the top seven cities declining 12% year-on-year to 202,756 units during January–September, according to JLL.

Elevated property prices, seasonal factors, and economic uncertainty weighed on demand, though select cities like Pune and Chennai bucked the trend with double-digit growth. Despite the slowdown, the premium housing segment continued to outperform, reflecting a structural shift toward value-driven homebuying.

In Q3 2025, sales declined 9% year-on-year and 2% quarter-on-quarter to 67,980 units, in line with the nine-month trend. Pune and Chennai, however, bucked the slowdown, recording 14% and 13% year-on-year growth, respectively, it noted.

Bengaluru, Mumbai, and Pune together accounted for over 60% of total residential sales during the period, despite a 9% drop in their combined volumes. Delhi-NCR saw the sharpest fall in sales at 29%, followed by Kolkata at 21% and Mumbai at 16%, while Chennai stood out with a 15% rise in sales, the report said.

The premium segment showed marginal Y-o-Y growth in sales during Q3 2025, however homes priced within ₹1.5-3.0 crore experienced 14% Y-o-Y growth. Demand in the sub- ₹1.0 crore range decreased by 23% Y-o-Y compared to the same period last year, it noted.

“January-September 2025 showed a shift toward a ‘value-driven’ market with premium housing demand driving overall sales despite 12% Y-o-Y drop-in total units sold. Interesting to note, demand for projects launched during the same quarter has been witnessing sustained momentum, with Q3 2025 following this trend. Even for the period between January to September 2025, approximately 24% of sales were contributed by properties launched during the first nine months of 2025, marginally higher than the share observed during January-September 2024.” said Samantak Das, Chief Economist and Head of Research and REIS, India, JLL

While premium housing saw strong demand, developers were cautious with new mid-range and affordable launches where demand has been sluggish over the last few quarters, the report said.

Q3 2025 brought 70,915 new homes to market, totalling 225,001 units for the first nine months, down just 1% annually. Kolkata, Chennai, Pune, and Bengaluru recorded strong annual growth in launched units, the report noted.

Home prices in India’s seven major cities maintained their upward trajectory in Q3 2025, posting annual increases ranging from 6% to 16%. Kolkata topped the list with 16% growth, followed by Chennai at 14%, while Delhi NCR and Bengaluru both recorded 13% growth, it said.