Real Estate Market Bounces Back Ahead of Festive Season
The Indian residential real estate sector has demonstrated robust resilience during the July-September quarter, recording significant activity across major metropolitan areas. According to the latest data released by Anarock Research, home sales across the top seven cities crossed the 1.02 lakh mark, representing a modest 3 percent increase compared to the same period last year. More importantly, sales registered a solid 10 percent sequential growth over the preceding April-June quarter, signaling renewed confidence among homebuyers.
Despite persistent inflationary pressures on construction materials and varying regional demands, the housing market has outperformed expectations. Investors and end-users alike are stepping forward to secure residential units, providing a much-needed boost to developers ahead of the peak festive buying season. The total value of homes sold during this quarter reached approximately Rs 1.55 lakh crore, reflecting the enduring appeal of physical real estate as a prime asset class.
MMR and Bengaluru Lead the Way in Housing Sales
Geographically, the Mumbai Metropolitan Region (MMR) and Bengaluru retained their dominance as the primary growth engines for the residential sector. Together, these two key markets accounted for nearly 48 percent of total sales across the top seven cities. MMR led the charts with approximately 31,750 housing units sold, while Bengaluru recorded around 16,670 units absorbed by eager buyers.
Other major cities displayed a mixed performance trend. Hyderabad emerged as a star performer with an impressive 15 percent year-on-year growth in housing sales, touching 12,970 units. Conversely, cities like Pune, Chennai, and the National Capital Region witnessed minor dips in transaction volumes due to localized supply constraints and rising price points, highlighting a shifting urban demographic preference.
New Project Launches Up by 18 Percent
Capitalizing on the positive market sentiment, real developers ramped up new project launches during the quarter. The top seven cities witnessed the introduction of 1,14,320 new housing units, marking an 18 percent increase from the 96,690 units launched in the corresponding quarter of the previous year. MMR, Pune, Bengaluru, and Hyderabad collectively commanded nearly 81 percent of this newly introduced supply.
Market segmentation reveals a clear tilt toward mid-to-high-end housing categories. While luxury housing dominated new launches in cities like Hyderabad and NCR, MMR maintained a balanced portfolio with a significant share of affordable and mid-range properties. Overall, properties priced between Rs 80 lakh and Rs 1.5 crore formed the bulk of new supply.
Inventory Levels and Price Appreciation
Along with sales and new launches, unsold inventory across the top seven cities also saw a 12 percent annual rise, reaching approximately 630,590 units. Analysts point out that this is a natural consequence of aggressive new launches rather than a lack of demand. Meanwhile, average property prices across top cities appreciated by 7 percent year-on-year, driven largely by input cost inflation and robust urban demand.
"The upcoming festive season is expected to further catalyze the sales momentum witnessed in Q3. However, cautious optimism prevails as buyers weigh affordability concerns against appreciating property values." — Anuj Puri, Chairman, Anarock Group
In conclusion, the Indian housing market remains on a stable growth trajectory, supported by genuine end-user demand and organized developer pipelines. As the festive buying window opens, stakeholders anticipate sustained momentum across core metropolitan sectors.
