West Asia Crisis Tempers Home Price Growth
City-wise, MMR and Bengaluru accounted for 48 per cent of total sales in this quarter. Interestingly, Chennai recorded the highest (18%) quarterly drop in housing sales, but also saw the highest yearly gain of 31 per cent: Reports
MUMBAI: The ongoing Middle East war had a predictable impact on the Indian real estate market. Housing sales in the first quarter witnessed a downward trend against the preceding quarter. Latest ANAROCK Research data indicates that Q1 2026 saw a 7 per cent drop in sales across the top 7 cities against Q4 2025. Approximately 1.01 lakh units worth Rs 1.51 lakh crore were sold in Q1 2026 in the top cities, in contrast to approx 1.08 lakh units worth Rs 1.60 lakh crore in Q4 2025.
However, given the low housing sales base in the corresponding period last year, Q1 2026 marked a 7 per cent annual rise in sales across the top 7 cities. Back in Q1 2025, approx. 93,280 units worth Rs 1.42 lakh crore were sold in these cities. Thus, housing sales value is down by 5 per cent quarter on quarter but have risen 6 per cent annually.
City-wise, MMR and Bengaluru accounted for 48 per cent of total sales in this quarter. Interestingly, Chennai recorded the highest (18%) quarterly drop in housing sales, but also saw the highest yearly gain of 31 per cent.
Meanwhile, new launches across the top 7 cities saw a limited quarterly growth of 2 per cent in Q1 2026 against the previous quarter, and a 26 per cent yearly rise – from 1.23 lakh units in Q4 2025 to approximately 1.26 lakh units in Q1 2026 and over one lakh units back in Q1 2025.
Mumbai Metropolitan Region (MMR) and Bengaluru saw the maximum new supply in Q1 2026, accounting for 51 per cent of the total new launches across the top 7 cities.
While MMR saw new supply increase by 6 per cent on a quarterly basis, Bengaluru saw a 7 per cent jump in the period. Chennai, NCR, Kolkata and Pune saw a quarterly decline in new supply by 28 per cent, 17 per cent, 10 per cent, and 9 per cent, respectively.