• Apartments priced at INR 1 crore and above accounted for approximately 62% of total sales in the first nine months of 2025, up significantly from 52% in the same period of 2024.

• This increased contribution was primarily driven by 10% growth in demand for the INR 1.5-3.0 crore housing segment.

• While premium homes gained market share in year-to-date (YTD – January to September) sales, the mass segment’s (sub-INR 1 crore) share dropped from 48% to 38% compared to the same period last year.

• Bengaluru, Mumbai, and Pune maintained their leadership with more than 60% share in residential sales volume across India's top seven cities during January-September 2025, despite a 9% decline in their combined sales.

• Despite a marginal Y-o-Y decline in overall project launches during YTD 2025, launch of homes priced over INR 1 crore surged by 5%.

• Kolkata, Chennai, Pune and Bengaluru recorded significant growth in residential launches during the first nine months of 2025 on a Y-o-Y basis.

• In Q3 2025, Chennai led the Y-o-Y property price growth, while Bengaluru and Delhi NCR followed closely.

Mumbai, October 28, 2025: While total residential sales fell 12% Y-o-Y to 202,756 units in January-September 2025, premium homes valued at INR 1 crore and above posted 4% growth over the same period. This is especially evident in the INR 1.5-3.0 crore category, which saw demand increase by approximately 10% compared to January - September 2024. Despite falling sales volumes attributed to sustained high property prices, seasonal monsoon impacts, pre-festive lull in housing demand, and uncertainty in the economic environment, the Indian housing market underwent recalibration while maintaining strong underlying fundamentals, as evident from increasing sales in the premium housing segment. Growing interest in high-end and premium residential developments has dampened mass housing market momentum, evidenced by a significant 30% Y-o-Y decline in sub-INR 1crore home sales during the first nine months of 2025.

Consistent with the nine-month pattern, India's top seven cities posted a 9% Y-o-Y and 2% Q-o-Q sales decline in Q3 2025, totaling 67,980-unit sales, except Pune and Chennai which posted 14% and 13% Y-o-Y growth when compared to Q3 2024 Despite the temporary slowdown, Bengaluru, Mumbai, and Pune each exceeded 12,000- unit sales during the quarter, together representing approximately 63% of total Q3 sales—an increase from their 60% share in Q3 2024. The premium segment showed marginal Y-o-Y growth in sales during Q3 2025, however homes priced within INR 1.5-3.0 crore experienced 14% Y-o-Y growth. Demand in the sub-INR 1.0 crore range decreased by 23% Y-o-Y compared to the same period last year.

“January-September 2025 showed a shift toward a "value-driven" market with premium housing demand driving overall sales despite 12% Y-o-Y drop-in total units sold. Interesting to note, demand for projects launched during the same quarter has been witnessing sustained momentum, with Q3 2025 following this trend. Even for the period between January to September 2025, approximately 24% of sales were contributed by properties launched during the first nine months of 2025, marginally higher than the share observed during January-September 2024.” said Dr. Samantak Das, Chief Economist and Head of Research and REIS, India, JLL

“While premium housing saw strong demand, developers were cautious with new mid-range and affordable launches where demand has been sluggish over the last few quarters. Q3 2025 brought 70,915 new homes to market, totalling 225,001 units for first nine months—down just 1% annually. Kolkata, Chennai, Pune, and Bengaluru recorded strong annual growth in launched units. Slower launches helped stabilize inventory and improve absorption, showing market maturation,” said Siva Krishnan, Senior Managing Director (Chennai & Coimbatore), Head - Residential Services, India, JLL.

Home prices in India's seven major cities maintained their upward trajectory in Q3 2025, posting annual increases ranging from 6% to 16%. Kolkata topped the list with 16% growth, followed by Chennai at 14%, while Delhi NCR and Bengaluru both recorded 13% growth. Developer focus on higher-margin premium developments, elevated construction costs, and sustained buyer demand drove broad-based price appreciation across all key markets.

The Indian housing market is moving toward a balanced phase after strong growth, as rising property prices create affordability concerns and sales slowdown. Home prices will keep rising due to strong luxury demand, low inventory, and developers' pricing power, even as sales moderate. Overall volume growth will slow, but luxury and premium segments will drive the market. Average transaction values will continue growing as buyers prefer high-end properties. Major listed developers are gaining market share through strong brands and execution skills, while others are expanding from luxury into mid-income projects to reach more buyers and reduce risk. Government support will continue, and investor confidence remains strong with steady private equity and foreign investment flows.

JLL is India’s premier and largest professional services firm specialising in real estate. The Firm has grown from strength to strength in India for the past two decades. JLL India has an extensive presence across ten major cities (Mumbai, Delhi NCR, Bengaluru, Pune, Chennai, Hyderabad, Kolkata, Ahmedabad, Kochi, and Coimbatore) and over 130 tier-II and III markets with a cumulative strength of over 16,900 employees. The Firm provides investors, developers, local corporates, and multinational companies with a comprehensive range of services. These include leasing, capital markets, project development, facility management, property management, transaction management and research advisory. These services cover various asset classes such as commercial, industrial, warehouse and logistics, data centres, residential, retail, hospitality, healthcare, senior living, and education. For further information, please visit https://www.jll.com/en-in/