India’s residential real estate market has experienced a slight deceleration in the new housing project launches. According to the latest report conducted by the Confederation of Real Estate Developers’ Associations of India (CREDAI) and CRE Matrix, “The number of units launched across India has been declining, from approximately 3 lakh units in H1 CY’24 to about 2.6 lakh units in H1 CY’25, a decline of around 5%.”
Many experts suggest that the developers are currently taking a cautious approach to launches due to increasing construction costs and uncertainty in the market.
Sales Value Continues Onward
Despite fewer launches, overall housing sales in major cities hit a staggering ₹3.6 lakh crore, which is up 9% from ₹3.3 lakh crore noted in H1 CY24.
The average price of homes sold has increased as well. The average price rose from ₹1.13 crore in H2 CY23 to ₹1.42 crore in H1 CY25, suggesting that more buyers are opting to purchase premium or luxury homes.
City-Specific Highlights
- Delhi-NCR: Sales value grew, and the region’s share of total sales value was 26% of the overall sales value, up from 23%. Homes priced above ₹3 crore made up 73% of NCR’s total sales value, indicating that although the number of units is small, sales were quite high.
- Mumbai Metropolitan Region (MMR): Region retained share of overall revenue of 23%, around 75,000 homes sold during the year, a modest increase for the region, but an average home price increase of 16% is noteworthy.
- Chennai: The Ratio of sales value change to units sold was significant at 23% on 11,000 units. The number of new launches increased from 14,000 to 19,000. Homes priced below ₹70 lakh lost market share from 23% to 17%, however.
- Bengaluru: Sold around 30,000 units, but that still ended with a 4% increase in sales value. The average home price went up by 17%; however, the market share for homes priced ₹70 lakh and ₹1.5 crore dropped from 38% to 32%.
- Hyderabad: The revenue market share saw a sharp decline, falling from 21% in H2 CY’23 to just 16% in H1 CY’25. On a brighter note, the average ticket size of homes sold rose significantly—from ₹1.13 crore in H2 CY’23 to ₹1.42 crore in H1 CY’25, according to the data.
- Ahmedabad: Sales value increased on a share that fell 61% in launches. The number of launches dropped from 31,000 to 11,000, but total sales were still up by 3% and total sales value increased by 10% to ₹21,849 crore.
In Hyderabad, Sales value rose slightly by 2%, but the number of homes sold dropped by 11%. Still, developers launched 42,000 new units, almost double from the previous 23,000, showing optimism despite slow demand.
