India’s home market nears five years of steady recovery after the pandemic. It reaches a turning point for 2026. Prices in big cities climbed fast since COVID. Buyer demand, premium home trends, infra projects, and higher build costs pushed them up. This trend locks in homes as a solid long-term buy. But it spotlights cost strains. Buyers and builders adjust their aims.
As 2025 ends, signs show price jumps slowing from recent years. Growth turns steady, tied to local areas. High-end and luxury homes lead sales. Mid and low-cost ones feel price pinch and weak demand. Global risks, job shifts, and rate changes set the stage. Can homes keep climbing in 2026? What will it take?
How the Housing Market Did in 2025 and View for 2026 India’s home sales stayed strong in 2025. Premium and luxury homes drove most buys. Units over Rs 1 crore made up more than half of sales in key cities. This shows big changes in what buyers can pay, what they want, and who buys.
A Knight Frank report notes double-digit price gains in Bengaluru, Hyderabad, Chennai, and Delhi-NCR. Low stock of good homes and buyer trust fueled it. Builders chased premium builds with strong brands, green features, more privacy, and smart tech.
Low-cost homes struggled. Build costs rose. Loans stayed tight. This calls for policy help to even out buys across incomes.
ANAROCK Research says sales in top seven cities fell 14% in 2025. They hit 3,95,625 units from 4,59,645 in 2024. But total sales value rose 6%. It went from Rs 5.68 lakh crore to over Rs 6 lakh crore.
Anuj Puri, Chairman of ANAROCK Group, notes: 2025 shook with global and economic hits. Sales volumes held steady in top cities. Value climbed higher. 2026 hinges on RBI rate cuts and builder price caps. Good economy plus lower loan rates can spark demand next year.
Top builders see 2026 as key for real estate. Some experts warn of care. They bet top projects will beat averages.
Aakash Ohri, MD and CBO at DLF, says: 2025 speed carries on. Luxury growth, NRI buys, and hot spots like Gurugram, Mumbai, Hyderabad, Bengaluru push it. Strong economy meets infra buildout. 2026 brings firmer markets and smarter city life. New types rise: branded homes, senior homes, vacation spots, and super-luxury that changes Indian living.
Govt policies boost demand. Big infra work in cities adds links, better services, and buyer trust.
Robin Mangla, President of M3M India, says the home sector shifts big. Urban dreams grow. Global views and life styles change.
Luxury branded homes gain fans. Buyers want top design, special perks, and high-end extras. This spreads beyond big cities. New urban spots seek global style mixed with Indian ways. Integrated townships change tier-1 and tier-2 growth. They mix homes, shops, and fun spots. They offer ease, links, and group life. This moves from lone projects to full neighborhoods for urban crowds.
Ahead, homes turn neat, fun-based, and life-fit. Next ten years focus on builds that lift life with infra, green ways, and top design. This starts fresh times for India’s city homes.
NCR Real Estate Scene ANAROCK’s new report shows average prices in top seven cities up 8% yearly. They hit Rs 9,260 per sq ft by late 2025 Q4, from Rs 8,590 at 2024 end. Delhi-NCR led with 23% gain. Prices jumped from Rs 7,550 to near Rs 9,300 per sq ft.
Yash Miglani, MD of Migsun Group, says: As 2025 closes, real estate holds firm, strong in NCR. Mid, dream, and mixed projects did well. Infra boosts, steady rules, and buyer mood helped. Tier-2 cities and new NCR spots drive growth with better links and costs. Lower rates and city spends rise. 2026 balances homes and offices.
2025 proved NCR runs at varied speeds. Home and office parts differ by area.
Uddhav Poddar, CMD of Bhumika Group, adds: Infra work lifts spots like Faridabad and Sonipat into NCR homes. For 2026, growth stays mixed. Core areas firm up. New tier-2 edges gain from extra demand and long-term infra plans.