Real Estate industry stakeholders present their views on the prospects of festive real estate

This festive season, we are seeing a more mature demand, particularly across Gurugram’s established and emerging premium residential corridors. Buyers are no longer driven only by the calendar or a limited period offer. Rather, their decision is increasingly shaped by confidence in the developer, product quality, location and the lifestyle a development can sustain over time. The continued evolution of NCR’s infrastructure is strengthening the city’s appeal among both end-users and long-term investors. We expect the festive period to convert a healthy pipeline of enquiries into more serious purchase decisions. Projects that combine thoughtful planning, connectivity and delivery credibility, will remain well placed.

Considering Anarock data, housing sales across top 7 cities saw a moderate growth of 3% YoY growth in Q3 2026 while new launches grew faster than sales, at 18%. As a result of this mismatch, available inventory has grown by 12% YoY. These demand-supply dynamics give leverage to buyers. There are a lot of options particularly in the premium segment, which now accounts for 69% of new launches above INR 80 lakh. So, buyers are very choosy. The market momentum is strong with average price increase of 7% YoY and quarterly sales value of INR 1.55 lakh crore. This festive season, home buyers are looking beyond superficial festive discounts. and future conversions will be based more on developer track record exact possession timelines and core project fundamentals, rather than on transient festive freebies.

This festive season looks steady rather than spectacular and that’s a healthy sign. Housing sales across the top seven cities rose about 3% to about one lakh units during July-September quarter. Launches are also picking up, so the momentum going into Diwali is real. Festive offers help but for today’s buyer developer’s track record, delivery history, location and construction quality matters more than discounts. The recent 25 bps rate hike will matter little in the premium segment, but entry-level buyers are the most sensitive to rates and some may defer their purchase decision. The strongest traction should come in end-user markets like Bengaluru, anchored by jobs and infrastructure. Developers who price sensibly and deliver on time  will turn this festive season into lasting demand and not just a one-quarter spike.

The festive season holds special significance for homebuyers with many preferring to make their home purchases during this auspicious period. Attractive festive offers further encourage buying decisions, making October-December an important quarter for the real estate sector. Much like other consumer segments that witness increased activity during the festive months, the housing market also benefits from this seasonal momentum. With more people looking to buy homes during this period, developers also see improved sales activity. Considering 3% YoY growth in housing sales in Q3 2026 in top seven cities, I expect October- December period to support home buying activity, particularly in markets driven by employment growth and infrastructure development. 

Home buying is a high-value financial decision, and for a serious end-user, the festive season has little bearing on the timing of such a purchase. Festive offers are often little more than marketing gimmicks employed by developers to stimulate sales and liquidate unsold inventory. Residential property prices have witnessed unprecedented inflation in the post-covid period, pushing home ownership increasingly beyond the reach of genuine buyers. Compounding this problem is the excessive loading on carpet area by developers, which has significantly eroded space efficiency and effectively inflated the cost of usable living space by as much as 35%. In my assessment, the residential real estate market is currently experiencing an asset price bubble that is unlikely to remain sustainable. Genuine home buyers are increasingly adopting a wait-and-watch approach anticipating a possible price correction of 15-20% and potentially more attractive buying opportunities in 2027. Investors and short-term speculators ,too, are finding the market increasingly unattractive, given the elevated entry prices, limited upside potential and dimnishing opportunities for profitable exits. Against this backdrop, I believe this festive season may well lack the customary Diwali sparkle in residential sales.

Delhi-NCR market is gradually expanding towards emerging growth corridors, supported by infrastructure development and changing buyer preferences. Markets such as Gurugram, Manesar and Jhajjar are gaining relevance as industrial and commercial activity moves beyond traditional urban centres. The expansion of well-connected industrial hubs such as Reliance MET City, just 30 minutes from Dwarka Expressway, creates a natural demand for housing by attracting employees, businesses and supporting services to these locations. During the festive season, we expect steady buyer interest in well-connectedmid and premium housing segments, particularly along Dwarka Expressway, New Gurgaon and emerging corridors around Manesarand Jhajjar where infra development is improving long-term residential prospects.

We expect the festive period to translate into stronger enquiries and conversions, particularly in well-established and emerging growth corridors where infrastructure development is improving connectivity and liveability. The premium and mid-premium segments are likely to remain relatively resilient, while affordability will continue to be an important consideration for mass-market buyers. Buyers will look at long-term potential of the asset, rather than simply festive offers. From an investor perspective, the focus is increasingly shifting towards quality assets with credible developers, sustainable rental from end-user demand and clear appreciation potential. Festive demand, therefore, is likely to be driven less by discounts and more by genuine value. We expect the coming months to provide a clear indication of the underlying strength of housing demand, with well-positioned projects and trusted brands likely to see greater traction.

Today housing demand is largely driven by genuine end-users’ families who have waited for the right combination of location, pricing and delivery credibility. This is a far sounder foundation than the speculative buying seen in earlier cycles. We expect this momentum to carry into the coming quarters, particularly in the affordable and mid-income segments, where rising household incomes, accessible home financing and a growing preference for ownership over renting continue to work in favour of buyers. For developers, the responsibility is clear. Timely delivery ,consistent quality and transparent pricing will determine buyer confidence far more than festive offers. Sustained demand will rest on disciplined execution , not seasonal sentiment. .

Bengaluru’s festive season, will see steady housing demand despite short-term material challenges. The underlying drivers remain strong job growth, infra upgrades and a clear preference for end-user homes over investment. Buyers are more discerning now; they want ready or near-ready homes with clear titles and quality. We expect enquiries to convert faster during Diwali, with attractive payment plans. Affordable and mid-segment homes in North and East Bengaluru will lead, luxury will remain stable. If supply normalises as GBA Greater Bengaluru Authority) indicates, festive sales could be 15-20% better than last year. 

The festive season 2026 is set to be decisive for Indian real estate, driven by sentiment-led buying and sustained wealth creation. In the luxury and ultra-luxury segment, especially in NCR, we are seeing a clear shift from aspirational  to asset-backed buying – large-ticket, low-density apartments with global amenities, wellness and legacy value. On the commercial side, Grade A mixed-use developments are outperforming standalone assets. Corporates and HNI investors now prefer integrated eco-systems that blend high-street retail, premium offices and luxury residences-offering both yield and lifestyle. Diwali with low inventory overhang in prime micro-markets and strong NRI interest ,will accelerate  decision-making. For players focused on quality  over volume, this festive quarter will be about value appreciation, not just volume growth.

Following several years of strong residential market performance, the market is now moving at a more measured pace, with buyers taking a more considered approach to purchase decisions. The festive season is likely to lend additional support to demand, with its auspicious significance often encouraging fence-sitters to move ahead with a purchase. Developers are also approaching the period more strategically, with offerings increasingly aligned with what buyers’ value today. Structured payment plans remain particularly attractive across segments, alongside product enhancements such as modular kitchens and semi-furnished homes, as well as other benefits which make the overall purchase proposition more appealing. 

The festive season has always been an important period for homebuying, but the real story goes beyond seasonal excitement. Today’s homebuyers are more informed, selective and focused on long-term value rather than short term offers. We believe the momentum in residential real estate will continue beyond Diwali, supported by rising aspirations, infrastructure development and a growing preference for trusted developers. In markets such as Delhi-NCR, demand for premium and luxury homes reflects a clear shift towards better living spaces, quality amenities and well-connected locations. The outlook remains positive.  While festive offers may encourage buyers to take the final step, the lasting demand is built on confidence, credibility and the promise of a better lifestyle., with discerning homebuyers increasingly prioritising quality, timely delivery and long-term value over temporary incentives.

This festive season, across the Tricity, we are witnessing that the homebuyer’s focus is moving beyond simply owning a home to investing in experiential lifestyle and long-term value. New Chandigarh is emerging as a key destination for homebuyers seeking thoughtful planning, connectivity, premium infrastructure and an elevated quality of life. The growing interest in branded residences reflects this evolution, bringing together globally recognised brands, distinctive design, curated amenities and exclusive living experiences. While festive sentiment encourages demand, purchasing decisions ultimately rest on trust, credibility and lasting value.  We believe the region’s next phase of growth will be driven by developments that meet international standards while reflecting the evolving aspirations of homebuyers.