To make matters worse,out of 328600 delayed/stuck NCR units, substantial legacy  stock of middle/upper middle housing is trapped in delayed projects. As per Anarock study of 2021, 48% stock was of mid-range segment, 31% affordable, 16% premium and 5% luxury. Further, inflation and property appreciation has effectively moved part of old mid/premium housing stock into today’s INR 1-2 crore demand price band. 

According to 2025 industry data, the INR 80 lakh-1.5 crore segment share in NCR launches fell from 15% in 2024 to just 7% in 2025. On the other hand, the share of INR 1.5 crore-2.5 crore segment increased sharply to 25% and homes costing INR 2.5 crore continue to dominate at 55%. 

The premium and luxury housing segment is likely to remain relatively resilient, with demand support from HNIs, affluent domestic buyers and NRIs. However, the affordable housing segment is likely to be affected by prolonged geo-political uncertainty. Higher crude oil prices could increase construction costs while elevated inflation and interest rates may reduce affordability for price sensitive buyers. Notwithstanding August monetary policy rate pause, members of RBI’s monetary policy committee are more hawkish now, flagging the possibility of rate hike on higher inflation, in turn dampening festive mood.

Limited pricing power could compress margins and moderate demand. Care Edge Ratings puts the estimated unit sales at 3.5 lakh in CY 2026 in the top 6 cities. As per Credai- Liases Foras report, in 2025 6.14 lakh housing units were sold across major markets. Overall, unit volumes dipped in specific urban centres due to a shift towards higher-priced homes. The top 7-8 cities recorded sales of 3.48 lakh-3.86 lakh units, reflecting up to 14% YoY drop in volume. In Tier-2 cities, as per PropEquity, 156181 units were sold across 15 major cities representing a 10% decline in volume.On account of delayed project launches, even top listed residential developers have seen moderation in pre-sales in Q1 FY 27.  

Moving ahead, there are likely headwinds as ICRA estimates India’s GDP growth at 4-quarter low of 7% in Q1 . There’s marginal rise in urban unemployment rate in July 2026, according to the Periodic Labour Force Survey monthly bulletin. Further in CY Q4, during winter months, construction bans in the NCR due to severe air pollution conditions will add to the woes of real estate.

Notwithstanding these challenges, the big branded listed developers are banking on festive launch push to beat slow momentum. According to Anarock, 11 top listed developers are targeting combined pre-sales of INR 1.82 trillion in FY27, up from INR 1.49 trillion in FY 26, a 22.3% year-on-year rise. Analysts also point out that moderation in Q1 sales should not be interpreted as a broad-based decline in end-user demand. 

But then, a lot will depend upon the market performance during the festive quarter, especially with regard to the launch pipeline in the much-in-demand price segment. In the longer run, for sustainable growth, residential realty can’t have a one-leg race- banking only on the premium and luxury segment.

DDA To Light Up Festive Housing

The festive season could bring more than just celebrations for Delhi’s homebuyers, with the Delhi Development Authority (DDA) lining up a series of housing launches across different price segments.

The authority plans to roll out 10 housing schemes this year, including affordable homes as well as premium flats in some of the capital’s established neighbourhoods. The planned launches are expected to give buyers more options while helping the DDA move closer to its revenue target of Rs 3,500 crore.

The authority had introduced nine housing schemes last year. The proposed schemes this year are expected to be offered on a first-come, first-served basis and will cover MIG, LIG and other affordable housing categories. The DDA is also set to launch a new phase of its premium housing scheme in localities including Dwarka, Rohini and Vasant Kunj, with the flats to be offered through e-auction.

Affordable housing remains a key focus of the DDA’s broader housing strategy. Under the provisions of the Master Plan, developers constructing EWS flats will receive an additional 15 per cent FAR. Of the resulting development, 50 per cent will comprise EWS flats, while the remaining 50 per cent will be developed under CSP provisions. These flats will be sold at affordable rates in accordance with DDA policy.

The Master Plan 2047 places significant emphasis on affordable housing and envisages 30 lakh housing units. Delhi’s housing requirement, including that of slum dwellers, is estimated at 40-50 lakh units. The plan also provides for the rehabilitation of slum dwellers through slum rehabilitation projects and land pooling for affordable housing.The broader housing strategy includes the redevelopment of existing housing societies and the improvement and regularisation of unauthorised colonies.