India’s residential real estate market recorded housing sales of 6.14 lakh units worth over ₹8.46 lakh crore in 2025, marking a 16% year-on-year increase in value from 2024. Greater Mumbai led the market with sales worth ₹1.33 crores, followed by Hyderabad, Gurugram, Bengaluru, Noida and Greater Noida, according to a report by the Confederation of Real Estate Developers’ Associations of India (CREDAI) and property analytics firm Liases Foras.
Homes priced above ₹1 crore accounted for 78% of the total sales value in 2025, it said.
The report titled, Indian Real Estate CY 2025, which tracks housing trends across 50 major cities, noted that while the growth in unit sales remained moderate compared to the previous year, the sharp rise in transaction value reflects a structural shift toward higher-value homes and premium residential developments.
New residential launches across the 50 cities stood at approximately 4.99 lakhs units during the year, while unsold inventory across these markets was estimated at around 9.63 lakhs units, indicating a relatively stable inventory pipeline and balanced supply conditions across key urban centres, it said.
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Premium housing drives market growth
The report highlighted that homes priced above ₹1 crore accounted for 78% of the total sales value in 2025, underscoring the growing preference for larger homes, better amenities and lifestyle-driven communities.
Within the premium segment, ultra-luxury homes priced above ₹2 crore contributed 51% of the overall sales value, while the ₹1-2 crore segment accounted for about 27%. The mid-income housing segment priced between ₹50 lakh and ₹1 crore contributed around 16%, while the affordable segment priced between ₹30 lakh and ₹50 lakh accounted for roughly 5% of the sales value. Homes priced below ₹30 lakh made up just 1% of the total sales value, the report said.
“Top metro cities continue to dominate India’s housing market in 2025 in sales, value and supply. However, Tier-2 cities are increasingly emerging as important growth centres in the residential real estate sector. Better connectivity, expanding employment hubs, and infrastructure-driven initiatives like the government’s City Economic Regions (CERs) are boosting housing demand in these markets for both end-users and investors,” Pankaj Kapoor, Managing Director, Liases Foras, said.
Metro cities lead sales value and price growth
The report said that Greater Mumbai led the market with ₹1.33 crores, followed by Hyderabad ( ₹1.08 crores), Gurugram ( ₹1.07 crores), Bengaluru ( ₹1.02 crores), and Noida and Greater Noida ( ₹42,267 crores). These markets continue to benefit from strong employment ecosystems, infrastructure expansion and sustained demand from both end-users and investors.
Price growth was also notable across several markets during the year. Bengaluru recorded the highest increase in the House Price Index (HPI) in 2025, followed by strong appreciation in Hyderabad, Ahmedabad, Pune and Greater Mumbai, reflecting robust demand and sustained absorption across major urban centres.
“When 78% of sales value comes from homes priced above ₹1 crore and ultra-luxury alone drives over half the value, it signals rising household wealth, maturing investor confidence and the success of urban infrastructure initiatives such as Gati Shakti. Tier-2, 3 and 4 cities are no longer peripheral; they are emerging as engines of economic opportunity. At CREDAI, we see this premium-led, infrastructure-backed growth as the foundation for sustainable urbanisation that will define the next decade,” Shekhar Patel, President, CREDAI, said.
