Housing price growth across India’s top eight cities moderated sharply in 2025, rising by an average 6%, compared to a steep 17% increase in 2024, according to a report released by PropTiger.com. The slowdown reflects a phase of price normalisation after the sharp appreciation witnessed in the previous year.
While most major cities recorded softer price growth, Bengaluru and Hyderabad stood out, supported by sustained end-user demand. Bengaluru registered 13% housing price growth in 2025, up from 12% in 2024, while Hyderabad saw prices rise 8%, compared to 3% a year earlier. In contrast, price appreciation moderated significantly across the remaining six cities.
City-wise Housing Price Trends
In 2025, housing prices increased by 8% in Ahmedabad (10% in 2024), 4% in Mumbai Metropolitan Region (MMR) (18% in 2024), and 1% in Pune (16% in 2024). Delhi-NCR and Kolkata each recorded 6% growth, down sharply from 49% and 10% respectively in 2024, while Chennai remained flat, following a 16% rise in the previous year.
According to Real Insight – Residential CY 2025, PropTiger’s annual residential market report, average housing prices across the eight cities rose by 8% between Q1 and Q4 2025, indicating market stability rather than accelerated growth.
Bengaluru Emerges as Second Most Expensive Housing Market
During 2025, Bengaluru recorded a sharp 21% price rise, with average residential prices reaching ₹9,500 per sq. ft. in Q4 2025, overtaking Delhi-NCR (₹9,167 per sq. ft.) to become the second most expensive housing market in India, after Mumbai MMR, where prices stood at ₹14,000 per sq. ft. in Q4.
Inventory and Market Dynamics
The report highlighted that inventory overhang remained within comfortable levels, indicating that supply did not materially exceed demand. Growth in unsold inventory was more pronounced in higher ticket-size homes, reflecting longer decision-making cycles and lower liquidity compared to mass and mid-income housing segments.
Mr. Onkar Shetye, Executive Director of Aurum PropTech, said,
“Mumbai MMR price trends through 2025 reflects price consolidation in the region’s premium market while that of Pune and Ahmedabad remaining broadly stable. Delhi NCR and Kolkata also saw measured price increases amid selective demand. Bengaluru and Hyderabad showed steady end-user demand and balanced absorption.”
He added,
“Overall, resilient pricing alongside moderating sales volumes highlights a disciplined, supply-calibrated market, where developers protected price integrity and inventory remained well managed-creating a stable pricing base heading into 2026.”
Further commenting on inventory trends, Mr. Shetye said,
“The combination of rising prices, stable quarterly increments, and controlled supply additions indicates that inventory levels remained well managed through 2025. The market continued to operate within a comfort zone, with developers prioritising price integrity and project viability over volume-led liquidation.”
Housing Sales and Supply Trends in 2025
Residential sales across the top eight cities declined 12% year-on-year to 3,86,365 units in 2025, down from 4,36,992 units in 2024, marking the lowest annual sales since 2022.
In Q4 2025, sales fell 10% YoY and 0.5% quarter-on-quarter to 95,049 units, the weakest quarterly performance since Q2 2023.
On the supply side, new residential launches declined 6% to 3,61,096 units in 2025, compared to 3,85,221 units in 2024, making it the lowest annual supply since 2021. However, supply saw marginal improvement in Q4 2025, rising 4% YoY and 0.2% QoQ to 92,007 units.
