India's residential property market demonstrated a clear shift towards premium housing in the first half of 2026, with homes priced between ₹1.5 crore and ₹3 crore recording the fastest growth at 58% year-on-year to 51,231 units. According to JLL's Real Estate Intelligence Service (REIS), homes priced above ₹1 crore accounted for 71% of all residential sales in H1 2026, up from 62% a year earlier. In contrast, affordable and mid-income housing continued to lose market share, with sales of homes priced below ₹50 lakh declining 32% and the ₹50 lakh-₹1 crore segment falling 20%. Together, homes priced below ₹1 crore accounted for just 28% of total sales, down from 39% in H1 2025.
Among major cities, Bengaluru recorded the strongest sales performance with transactions rising 16% year-on-year to 35,017 units during H1 2026. Chennai posted the fastest percentage growth at 27% to 8,587 units, while Delhi-NCR grew 7% to 20,761 units. However, sales declined in Pune (-14%), Hyderabad (-3%), Mumbai (-1%), and Kolkata (-1%). Bengaluru, Mumbai, Pune and Delhi-NCR together accounted for nearly three-fourths (76%) of residential sales during the six-month period, maintaining their leadership position in India's housing sector. Bengaluru, Mumbai and Pune together accounted for nearly 62% of total residential sales during the period, reinforcing their position as the country's largest housing markets.
Developers launched 168,507 housing units in H1 2026, up 9% from a year earlier, indicating confidence in sustained demand. Bengaluru led supply additions with 48,748 units, a 41% increase over last year, followed by Mumbai with an 18% rise and Delhi-NCR seeing a 14% increase. Residential prices continued their upward trajectory across all seven cities, with annual appreciation ranging between 6% and 15%. Bengaluru recorded the highest price growth at 15%, followed by Chennai and Kolkata at 13%, supported by higher construction costs and sustained demand for premium housing. Housing sales across India's top seven cities rose 3% in H1 2026 to 138,382 units, with the April-June quarter seeing a 4% sequential decline attributed to seasonal factors and buyers taking a more measured approach to purchase decisions.
JLL expects housing demand to remain resilient in coming quarters, supported by infrastructure development, urbanisation, rising incomes and improved connectivity. Siva Krishnan from JLL noted that the shift towards quality and quantum in the ₹1-3 crore segment demonstrates buyers' willingness to invest in well-located, premium developments that offer long-term value. The consultancy attributes the temporary sequential decline to seasonal factors and buyers taking longer to make purchase decisions, rather than deterioration in underlying demand. The H1 2026 performance underscores the maturity of India's residential sector, with the 9% increase in new launches reflecting strong developer confidence. Sustained urbanization, infrastructure development, and rising aspirations continue to drive homebuying decisions, with JLL expressing optimism that sales momentum would improve in subsequent quarters as buyers adapt to prevailing market conditions.
