Bengaluru’s housing market witnessed a sharp uptick in home prices in Q4 2025, with average prices rising 21% quarter-on-quarter to ₹9,500 per sq ft. This made it the second-most-expensive housing market after Mumbai MMR ( ₹14,000 per sq ft in Q4), surpassing Delhi NCR ( ₹9,167 per sq ft in Q4), according to a PropTiger report.
The report highlighted pronounced fluctuations in sales throughout the year, driven more by timing-led demand than a steady recovery pattern. Sales stood at 11,731 units in Q1 2025 before surging 33.2% QoQ to 15,628 units in Q2, the strongest quarterly performance of the year.
“In Q4 2025, sales stabilised at 13,931 units, reflecting a 6.1% QoQ increase, though volumes remained below the Q2 peak. On a YoY basis, Q4 2025 sales were 5.3% higher than Q4 2024, indicating modest year-end improvement despite intra-year volatility,” the report said.
Overall, Bengaluru recorded 12.7% YoY growth in residential sales in 2025, reflecting demand resilience. However, faster supply expansion kept the market in a calibrated adjustment phase rather than an acceleration cycle, the report said.
“Bengaluru’s residential market in calendar year 2025 exhibited pronounced quarterly volatility, with sharp swings in sales volumes reflecting timing-driven demand rather than a linear recovery trend,” the PropTiger report said.
Supply outpaces absorption
On the supply side, PropTiger said developers maintained a strong launch pipeline, particularly in Q1 and Q4 2025, indicating continued confidence in the market. However, this optimism was not consistently reflected in absorption levels across all quarters, leading to periodic sales fluctuations.
“On the supply side, new launches remained elevated, particularly in Q1 and Q4 2025, suggesting sustained developer confidence. However, this supply was not consistently matched by absorption across all quarters, contributing to periodic volatility in sales performance,” the report said.
At the national level, the report noted that housing sales across the top eight cities declined 12% year-on-year to 3,86,365 units in 2025, marking the lowest annual sales since 2022. Quarterly sales in Q4 also fell 10% YoY to 95,049 units.
New supply across India dropped 6% annually to 3,61,096 units, the lowest since 2021. Although Q4 supply saw a marginal 4% YoY increase, this indicates a cautious but steady approach by developers, the report said.
