India’s residential real estate market is witnessing a remarkable shift, fewer homes are being sold, yet developers are earning more than ever. According to a recent ANAROCK report, the total value of home sales in the top seven cities is expected to jump nearly 20 percent in FY26, even as sales volume remains almost the same.
In FY25, around 4.22 lakh homes were sold across major metros, generating ₹5.59 lakh crore in value. For FY26, this figure is projected to rise to about ₹6.65 lakh crore, underscoring a clear move toward higher-value housing. The growth is primarily fueled by the premium and luxury segments, which now account for nearly 42 percent of new housing supply across these cities.
Developers are increasingly targeting high-margin projects featuring larger spaces, better amenities and prime locations. Buyers, too, are shifting preferences; seeking comfort, exclusivity and long-term investment security rather than affordability alone.
However, the report also points to a slowdown in mid-income and affordable housing, as rising prices and borrowing costs continue to strain buyer budgets. Experts believe this “value-over-volume” trend highlights the industry’s evolution, but warn that long-term sustainability will depend on reviving affordability and balanced growth.
Overall, India’s real estate sector is entering a new era, one driven not by the number of units sold, but by the rising worth of every home built.
