Housing Unit Sales Dip In Top Cities; Only Hyderabad, Chennai See Growth

Housing unit sales in India's top cities have seen a decline, with only Hyderabad and Chennai recording growth in the first half of 2025, according to the latest report by Knight Frank India. The report, titled 'India Real Estate: Office and Residential Market – January to June 2025 (H1 2025),' highlights the performance of the residential market across eight major cities.

Data reveals that Mumbai, the largest residential market by volume, saw stable sales with 47,035 units sold, showing no year-on-year change. However, new launches in Mumbai decreased by 3% to 45,451 units.

The National Capital Region experienced an 8% decline in sales to 26,795 units and a 17% drop in launches to 25,233 units. Bengaluru's sales fell by 3% to 26,599 units, while launches surged by 31% to 33,498 units. Pune recorded a 1% decline in sales to 24,329 units and a 5% decrease in launches to 26,559 units.

In contrast, Hyderabad and Chennai were the only cities to see positive growth in housing unit sales. Hyderabad's sales increased by 3% to 19,048 units, although launches fell by 6% to 20,962 units. Chennai saw a notable 12% rise in sales to 8,935 units and a 9% increase in launches to 9,621 units.

Ahmedabad's sales remained unchanged at 9,370 units, with a 5% rise in launches to 10,734 units. Kolkata experienced an 11% decline in sales to 8,090 units and a significant 29% drop in launches to 7,682 units.

Overall, the top eight cities recorded sale of 170,201 housing units, reflecting a 2% year-on-year decline, while new launches totalled 179,740 units, also down by 2%.

The report noted that homes priced above Rs 1 crore saw a 17% increase in sales, while sales in the Rs 2-5 crore ticket size range grew by 29% year-on-year. The Quarters-to-Sell ratio held steady at 5.8 quarters, indicating a balanced market.

Knight Frank India's report underscores sustained momentum in the housing market, driven by strong performance in the higher-end segment.

Despite overall decline in sales, resilience in high-value sales and steady new launches demonstrate developers' confidence in long-term demand fundamentals, the report said.