Home Sales Value Expected to Rise 19% in FY26 Despite Stable Volumes

Home Sales Value to Jump 19% in FY26 as Buyers Shift to Premium Homes Despite Flat Volumes

India’s housing market continues its remarkable run, with the total home sales value expected to jump 19% in FY26, even as overall transaction volumes remain largely stagnant. According to ANAROCK Research, the total value of homes sold across the top seven cities could cross ₹6.65 lakh crore by the end of FY26, driven primarily by higher property prices and strong demand in the premium and luxury housing segments.

This growth underscores a fundamental shift in India’s residential market—buyers are moving up the value chain, prioritizing spacious layouts, prime locations, and lifestyle features over affordable price points, while developers are increasingly focusing on higher-margin projects.

Price-Led Growth Pushes Housing Market to New Highs

Data from ANAROCK shows that in H1 FY26 alone, more than 1.93 lakh housing units were sold across the top seven cities, generating a total sales value of ₹2.98 lakh crore. This already accounts for 53% of the total housing sales value recorded in the entire FY25, which stood at around ₹5.59 lakh crore.

“Our research indicates that the overall housing sales value in FY26 may rise by over 19% year-on-year to exceed ₹6.65 lakh crore. In comparison, total sales value in FY25 was ₹5.59 lakh crore, with around 4,22,765 units sold,” said Prashant Thakur, Executive Director and Head – Research and Advisory at ANAROCK Group.

Thakur added that after a record absorption level in FY24, housing volumes have moderated due to affordability challenges and limited new supply in certain segments. However, the value of transactions continues to climb, fueled by premiumization and higher price realization.

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Luxury Homes Drive Momentum as Volumes Plateau

In FY25, while the number of homes sold declined by 14% year-on-year, the overall sales value grew by 6%, touching a record ₹5.59 lakh crore. This trend continues into FY26, with premium housing emerging as the key growth driver.

“Even though sales volumes may not grow beyond 4% this fiscal, price-led momentum ensures double-digit value growth,” Thakur explained. “India’s housing market is clearly entering a maturity phase, where growth is being driven by quality and value rather than just quantity.”

City-Wise Performance: NCR and MMR Lead in Value Terms

The data highlights that India’s largest real estate markets—NCR, MMR, Bengaluru, and Pune—are leading the charge in terms of total transaction value, even as unit sales remain stable.

• National Capital Region (NCR):
  In H1 FY26, approximately 29,175 units were sold worth ₹75,859 crore. In FY25, the region recorded 58,775 units sold, translating to a sales value of ₹1.02 lakh crore, the highest since FY22. NCR’s surge has been led by Gurugram, where premium projects have seen robust traction.

• Mumbai Metropolitan Region (MMR):
  MMR continues to dominate in terms of total value, with 61,540 units sold in H1 FY26 worth over ₹1 lakh crore. During FY25, it recorded 1.44 lakh units sold with a total value of ₹2.23 lakh crore, reflecting the region’s dominance in high-ticket housing transactions.

• Bengaluru:
  Bengaluru saw 29,955 units sold in H1 FY26 with a combined value of ₹43,627 crore, compared to 62,440 units worth ₹79,819 crore in FY25. The city remains a key driver of mid to upper-segment housing, powered by IT sector demand and upgraded lifestyle preferences.

• Chennai:
  The southern metro saw 11,670 units sold in H1 FY26 worth around ₹12,370 crore, while FY25 closed with 17,765 units and a sales value of ₹17,387 crore, reflecting steady performance in the mid-range and affordable segments.

Developers Shift Focus to Premium and Luxury Segments

Industry experts say the structural shift in consumer behavior—from affordable homes to premium properties—has reshaped developer strategies.

“The Indian housing market is clearly moving up the value curve,” said Manik Malik, CEO of BPTP Ltd. “While overall sales volumes remain steady, we are witnessing a sharp rise in transaction value driven by the surge in premium and luxury housing. This shift is particularly evident in NCR markets like Gurugram, where end-users and aspirational buyers are prioritizing quality, location, and lifestyle amenities over mere size or discounts.”

Developers are now reallocating resources to premium projects, expanding their offerings in gated communities, and enhancing amenities such as clubhouses, green spaces, and tech-enabled living solutions.

Outlook: FY26 to Mark a Value-Led Growth Phase for Housing

Analysts believe FY26 will further reinforce the value-driven growth trajectory of India’s housing sector. While affordability pressures and elevated interest rates may restrict volume expansion, rising incomes and lifestyle aspirations are sustaining momentum at the upper end of the market.

With homebuyers displaying a clear preference for larger, better-located, and feature-rich properties, the coming fiscal is expected to witness record value creation, particularly in metros like Mumbai, Delhi-NCR, and Bengaluru.

For developers, the challenge lies in balancing premium demand with affordability, while managing input costs and ensuring timely delivery—key factors that will determine the sector’s resilience through FY26 and beyond.

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