Housing sales across the country’s leading seven urban markets climbed 6% year- on-year (Y-o-Y) to reach 214,562 units in the first nine months (January to September). The highest sales growth was reported in Chennai and Bengaluru, while Mumbai and Pune reported a minor drop in sales. On the other hand, sales value grew by 15% in Q3, according to a report released by JLL India, a real estate consultancy on November 5.
According to the report, the recovery was led decisively by premium housing, with apartments priced at ₹1 crore and above posting 23% Y-o-Y growth and capturing 72% of total sales during the period, up from 62% a year earlier, driven by sustained urban migration, upgrades to infrastructure, and shifting lifestyle preferences among homebuyers.
The ₹1.5– ₹3.0 crore category remained the standout performer, with demand climbing 54% Y-o-Y. The mass housing segment (sub-INR 1 crore) continued to lose ground, with sales falling 23% Y-o-Y as affordability pressures and a continued shift in buyer preference toward larger, higher-specification homes reshaped the demand mix, the report said.
Bengaluru and Mumbai at top, Chennai reports highest growth
The report said that Bengaluru, Mumbai, and Pune together accounted for majority of the sales. The first nine-month performance was particularly in Bengaluru, Mumbai, and Pune, each exceeding 35,000- unit sales during the quarter, the report said. However, Mumbai and Pune were the only two markets which reported a drop in sales by 1% and 13%.
During the first nine months of 2026, Chennai reported the highest growth in sales at 22%, followed by Bengaluru at 18%, Hyderabad at 16%, Delhi NCR 8%, Kolkata remained flat at 0%.
{{/usCountry}}During the first nine months of 2026, Chennai reported the highest growth in sales at 22%, followed by Bengaluru at 18%, Hyderabad at 16%, Delhi NCR 8%, Kolkata remained flat at 0%.
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Capital values and launches
According to the report, capital values across the top seven cities continued their upward trajectory in Q3 2026, underpinned by sustained demand in the premium and luxury segments. Bengaluru recorded the sharpest Y-o-Y appreciation at 15%, followed by Chennai (12%) and Kolkata (11%), while Delhi NCR and Mumbai posted gains of 10% and 8% respectively. Pune registered the most moderate increase among the top seven cities, at 6% Y-o-Y, consistent with softer sales momentum in the city over the last few quarters.
“The first nine months of 2026 reaffirm the structural shift in India's residential market toward premium and larger-format homes. Sales momentum has been led decisively by the INR 1.5-3.0 crore segment, which grew 54% Y-o-Y, while developers have matched this demand with a massive 70% increase in launches. At the same time, the mass housing segment continues to see demand moderate, underscoring a clear bifurcation in buyer preferences," said Siva Krishnan, Senior Managing Director (Chennai and Coimbatore), Head, Residential Services, India, JLL.
"Capital values have moved in tandem with this shift, with cities such as Bengaluru, Chennai and Kolkata recording the steepest gains in Q3 2026. We expect this premium-led growth pattern, supported by calibrated new launches, to remain the defining theme of the market through the remainder of 2026.” said Krishnan.
On the other hand, Bengaluru, Hyderabad and Mumbai led this expansion, with launches growing 41%, 37% and 24% Y-o-Y respectively, as developers moved to capture sustained momentum in the premium and luxury categories.
In contrast, Kolkata, Chennai and Pune recorded a contraction in new launch volumes, reflecting a more cautious approach to supply addition in these markets. At the national level, Q3 2026 launches stood at 90,918 units, up 28% Y-o-Y from 70,915 units in Q3 2025 and 16% q-o-q, the report said.
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Outlook
According to the JLL India report, the ₹1.5- ₹3.0 crore segment is expected to continue outperforming, supported by sustained demand from upwardly mobile and affluent buyers seeking larger, amenity-rich homes. Developers are likely to keep calibrating launches toward this segment, as evidenced by the sharp rise in premium project launches during 2026.
The report said that capital values are expected to see continued appreciation, particularly in cities like Bengaluru, Chennai, and Kolkata, driven by strong fundamentals, limited quality supply, and rising construction costs.
The report said that the mass and affordable housing segments may continue to face demand moderation, reflecting ongoing affordability pressures and shifting buyer preferences toward quality over price. Overall sales volumes are likely to remain stable to modestly positive, with value growth continuing to outpace volume growth as the market's center of gravity shifts toward higher-ticket transactions.
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The bifurcation between premium and affordable housing is expected to persist through the rest of 2026, with buyer confidence remaining firm in the higher-value segments while affordability-conscious homebuyers continue to exercise caution, according to the report.