India’s housing market hits plateau: Sales flat at ₹3.6 lakh cr in H1 2026 | Personal Finance

Primary housing sales across Tier-1 cities stood at around ₹3.63 lakh crore in the first half of 2026, virtually unchanged from the record level of H1 2025. However, the number of homes sold fell about 2% to 2.58 lakh units, while developers launched nearly 2.98 lakh units, up 7% year-on-year.

 

The result: housing values have held up, but volumes are no longer rising, while fresh supply is running ahead of absorption, according to the September 2026 India Housing Report by CRE Matrix and the National Association of Realtors–India.

 

Sales remain strong, but fewer homes are changing hands

 

The headline number — ₹3.63 lakh crore in sales — could suggest that the housing market is still accelerating. But the volume data tells a more nuanced story.

  

CRE Matrix estimates that around 2.58 lakh primary homes were sold in H1 2026, down approximately 2% from H1 2025. At the same time, the average ticket size was around ₹1.4 crore, rising just 2% year-on-year. That was the slowest increase in three years.

 

In other words, the value of homes sold has been sustained despite lower transaction volumes.

 

For example: if a city sold 100 homes at an average ₹1 crore last year, its sales value would be ₹100 crore. If it sells only 98 homes this year but the average price rises to roughly ₹1.02 crore, the overall value can remain broadly stable even though fewer buyers have purchased homes.

 

That is broadly what the national data is showing.

 

CRE Matrix describes this as a consolidation of premiumisation rather than another acceleration in the trend.

 

MMR overtakes NCR

 

One of the biggest changes in the first half of 2026 was the shift in the geographical leadership of India’s housing market.

 

Mumbai Metropolitan Region (MMR) accounted for 26% of national housing sales value, overtaking NCR at 19%. MMR recorded approximately ₹93,800 crore in primary housing sales, up 8% year-on-year, with volumes rising about 9%.

 

This is significant because MMR’s growth was largely volume-led.

 

Around 83,600 homes were sold, while its average ticket size remained broadly stable at ₹1.12 crore.

 

For a buyer, that distinction matters. MMR’s growth was not simply the result of selling a smaller number of increasingly expensive homes; more homes were actually sold.

 

Bengaluru is the standout growth market

 

Bengaluru was another major exception to the national slowdown.

 

Housing sales value in the city rose 25% year-on-year to ₹60,875 crore, the strongest growth among the large markets tracked by CRE Matrix. Volumes increased 7% to about 34,600 units, while the average ticket size rose 17% to ₹1.76 crore.

 

The composition of sales is particularly interesting for wealthier homebuyers.

 

The ₹2-5 crore segment accounted for 41% of Bengaluru’s housing sales value in H1 2026, compared with 32% a year earlier. At the same time, the share of homes priced below ₹1 crore fell into single digits.

 

Example: A Bengaluru buyer with a ₹3 crore budget is therefore operating in a segment that has become a much more significant part of the city’s housing market. That does not mean every ₹3 crore property will appreciate at the same rate, but it does indicate that higher-ticket housing has become central to the city’s sales mix.

 

Bengaluru also saw nearly 47,700 new units launched, up around 22%, meaning developers are continuing to bet on demand in the city.

 

NCR tells a different story

 

NCR, which had been the strongest growth engine in the previous year, saw a significant correction.

 

Sales value fell approximately 24% to ₹68,217 crore, while the number of homes sold declined 9% to around 24,600. The average ticket size fell 16% to ₹2.77 crore, from ₹3.31 crore in H1 2025.

 

At the same time, developers launched nearly 35,000 homes, the highest half-year level in CRE Matrix’s series.

 

The mix also changed. Homes priced above ₹5 crore accounted for 45% of NCR’s sales value, down from 51%, while the ₹2-5 crore segment gained share.

 

This suggests that NCR’s H1 2026 correction was particularly visible at the luxury end.

 

Gurugram sees a luxury-market reset

 

The numbers are even more pronounced in Gurugram.

 

Sales value fell 33% to ₹37,726 crore, although volumes were broadly stable at around 12,000 units. The average ticket size dropped 32% to ₹3.15 crore, compared with a peak of ₹4.65 crore in H1 2025.

 

The share of homes priced above ₹5 crore fell from 66% to 52% of sales value, while the ₹2-5 crore segment increased to 39%.

 

For a buyer, this is an important illustration of why headline city-level price growth can be misleading. A market can record a sharp decline in sales value without experiencing a comparable collapse in the number of homes sold if the composition of transactions shifts towards lower-ticket properties.

 

Mumbai is becoming increasingly premium

 

Mumbai city itself recorded ₹58,362 crore in primary housing sales in H1 2026, up 4% from a year earlier.

 

But unlike MMR as a whole, Mumbai’s growth was primarily price-led. Sales volumes were broadly flat at around 24,500 units, while the average ticket size increased 4% to a record ₹2.38 crore.

 

The premiumisation is particularly striking at the top end: homes priced at ₹5 crore and above accounted for 40% of Mumbai’s sales value, compared with 38% a year earlier.

 

This means that someone shopping for a ₹5 crore-plus home in Mumbai is operating in a segment that represents a substantial share of the city’s overall primary housing value.

 

Hyderabad: fewer homes, bigger tickets

 

Hyderabad also illustrates the premiumisation trend.

 

Housing sales value was broadly flat at ₹56,966 crore, but volumes fell 11% to around 28,200 units. The average ticket size increased 13% to a record ₹2.02 crore.

 

The premium end is gaining importance: homes priced at ₹5 crore and above accounted for 27% of sales value, while the share of sub-₹1 crore homes fell to just 8%.

 

At the same time, Hyderabad saw nearly 46,900 new launches, up 22% year-on-year.

 

For buyers, that creates a combination of higher ticket sizes and substantial new supply — making project selection particularly important.

 

Chennai shows how premiumisation can mask falling volumes

 

Chennai recorded one of the clearest examples of the trend.

 

Sales value increased 16% to ₹13,722 crore, even though the number of homes sold fell 12% to about 10,500. The average ticket size jumped 32% to ₹1.31 crore.

 

The share of sub-₹1 crore homes fell from 41% to 27% of sales value, while homes priced at ₹2 crore and above rose to 44%.

 

So a rising sales-value number does not necessarily mean more people are buying homes. It can also mean that the people who are buying are spending considerably more.

 

Navi Mumbai and Raigad are gaining momentum

 

For buyers priced out of central Mumbai, the Navi Mumbai-Raigad corridor is worth watching from a market-activity perspective.

 

Sales value jumped 29% to ₹12,292 crore, the fastest growth among MMR’s pockets. Volumes increased 20% to around 17,300 units and the average ticket size rose 8% to ₹71 lakh.

 

The region also saw launches surge 29% to around 25,800 units. The ₹2-5 crore segment increased its share of sales value from 14% to 20%, while the sub-₹1 crore segment fell to 46%.

 

CRE Matrix said Tier-1 housing sales value held at about ₹3.63 lakh crore in H1 2026, while volumes eased 2%. Meanwhile, launches increased 7% to nearly 2.98 lakh units, meaning new supply is currently running ahead of absorption.

 

A buyer considering a ₹2 crore home in Bengaluru, for example, is entering a city where the ₹2-5 crore segment has become a much larger part of the sales mix. A ₹3 crore buyer in NCR, meanwhile, is entering a market where the average ticket size has fallen from its H1 2025 peak and where supply has increased sharply. A ₹5 crore-plus buyer in Mumbai is operating in a market where that segment accounts for 40% of sales value.

 

Key Highlights of the India Housing Report (Jan–Jun 2026):

 

 ₹3.63 lakh crore worth of primary housing sales were recorded across India’s Tier-1 cities in H1’CY26.

 

MMR overtook NCR to become the largest housing market, accounting for 26% of Pan-India housing sales value.

 

Bengaluru recorded 25% growth in sales value, the strongest growth among the large markets.

 

2.58 lakh homes were sold in H1’26, while 2.98 lakh units were launched, indicating that supply is running ahead of absorption.