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  1. Why fewer homes were sold in 2025 even as property market value rose

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Why fewer homes were sold in 2025 even as property market value rose

Upstox

2 min read | Updated on December 26, 2025, 14:39 IST

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SUMMARY

ANAROCK data shows housing sales volumes fell last year, but higher prices and luxury housing demand drove overall transaction value higher.

homebuyers real estate 2025

Residential prices across the top cities rose 8% annually, remaining in single digits for most markets. | Image: Shutterstock

India’s residential real estate market saw a slowdown in sales volumes in 2025 amid rising property prices, IT-sector layoffs, and global uncertainties, even as overall transaction value continued to grow, according to ANAROCK Research.

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Housing sales across the top seven cities declined 14% year-on-year to around 3.96 lakh units in 2025, compared with 4.60 lakh units in 2024. However, the total value of homes sold increased 6% annually to over ₹6 lakh crore, up from about ₹5.68 lakh crore last year, reflecting sustained demand for higher-priced homes.

The Mumbai Metropolitan Region (MMR) recorded the highest sales at approximately 1.28 lakh units, despite an 18% annual decline, followed by Pune with around 65,135 units, down 20%. Together, the two western markets accounted for nearly 49% of total housing sales in 2025. Chennai emerged as the only city to post a yearly growth, with sales rising 15%.

New housing supply in the top seven cities edged up 2% year-on-year to about 4.19 lakh units in 2025. MMR and Bengaluru led fresh launches, jointly contributing nearly 48% of total new supply during the year, while MMR and Hyderabad saw declines in new launches.

Residential prices across the top cities rose 8% annually, remaining in single digits for most markets. Delhi-NCR stood out with a 23% jump, driven largely by increased launches in the luxury and ultra-luxury segments.

ANAROCK noted that despite improved corporate profitability, investment momentum remains muted, and demand revival in 2026 will largely depend on RBI rate cuts, lower home loan interest rates, and price discipline by developers.
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Upstox
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