Housing sales value rises 11% in H1CY26; Bengaluru leads market growth: Report

During H1CY26, demand value recorded its strongest expansion in southern India, surging 37 per cent YoY in Bengaluru, followed by a 26 per cent rise in Chennai. The Mumbai Metropolitan Region (MMR), Pune, and Kolkata each recorded a 13 per cent increase in sales value over the same period.

In contrast, sales value in the National Capital Region (NCR) dropped 7 per cent YoY. On the volume front, H1CY26 sales volumes jumped 22 per cent in Bengaluru and fell 18 per cent in NCR, while all other major cities saw growth in the range of 4 per cent to 9 per cent.

According to the report, supply metrics showed moderation, as launches by value fell 10 per cent YoY in June 2026, alongside a 5 per cent reduction in launch volumes. Total launches by value in Q2CY26 declined 6 per cent YoY, even as overall supply edged up 9 per cent during H1CY26.

Regional launch patterns varied significantly during the six-month period; MMR, Bengaluru, Kolkata, and Hyderabad recorded an uptick in launches between 10 per cent and 43 per cent, whereas NCR and Chennai experienced slowdowns between 21 per cent and 34 per cent. Bengaluru retained its position as the best-performing market for both supply and demand growth.

As per the report, inventory levels across the country held firm at 20 months, remaining flat on both a YoY and MoM basis. Pune maintained the leanest inventory position among major markets at 14 months. Most other cities reported inventory levels between 17 and 22 months, whereas Hyderabad recorded the highest level at 29 months.

Sustained activity in the luxury and premium housing segments supported price increases across all major cities in Q2CY26, led by a 20 per cent YoY jump in Chennai, while other cities saw price gains of 4 per cent to 8 per cent.

In its assessment of real estate equities, the Nuvama report noted, "We argue volume growth will determine the performance of RE stocks."

Outlining the conditions necessary to sustain physical sales momentum, the report stated that volumes can remain healthy provided developers "reduce focus on luxury segment and reorient towards mid-income/premium segment" and "focus on improving affordability by keeping prices/ticket size restricted".

Addressing regional performance variations, the report added, "While the NCR market will continue to face challenges in pockets (especially in the INR50-100mn ticket size bracket), Bengaluru and Chennai are well placed to continue on the growth path." (ANI)