Real estate consultancy Anarock reported on Monday that residential sales across India's top seven cities declined 6% year-on-year in the second quarter of calendar year 2026, attributing the slowdown to the ongoing West Asia conflict and resulting supply chain disruptions. Total sales stood at 90,715 units in Q2 2026, compared with 96,285 units in the same period last year. On a quarter-on-quarter basis, sales fell 11%.
City-wise Performance
The Mumbai Metropolitan Region (MMR) and Bengaluru together accounted for over 48% of total sales, cumulatively selling approximately 43,995 units in Q2 2026. Among individual cities, only Kolkata, Hyderabad, and Bengaluru posted year-on-year sales increases: Kolkata rose 10%, Hyderabad grew 2%, and Bengaluru edged up 1%. In contrast, Pune recorded the steepest yearly decline of 15%. The performance of other cities — Delhi-NCR, Chennai, and Ahmedabad — was not detailed in the report.
| City | Q2 2026 YoY Change | Notable Sales Contribution |
|---|---|---|
| Kolkata | +10% | — |
| Hyderabad | +2% | — |
| Bengaluru | +1% | 48% of total (with MMR) |
| Mumbai Metropolitan Region | Not specified | 48% of total (with Bengaluru) |
| Pune | -15% | Steepest decline |
| Other top cities | Not specified | Remaining ~52% |
New Supply and Pricing
Despite the sales dip, new launches rose 7% year-on-year — from approximately 98,625 units in Q2 2025 to around 1,06,000 units in Q2 2026. MMR and Bengaluru led new supply, contributing 53% of total inventory additions across the top seven cities.
On the pricing front, average residential prices in the top seven cities increased a meagre 1% quarter-on-quarter but rose 7% compared to the same quarter last year, indicating sustained price growth even as transaction volumes moderated.
Industry Outlook
Anuj Puri, Chairman of Anarock, commented on the findings: “What we have currently is a more balanced housing market where new supply is catching up with absorption, as sales growth moderates across most top cities. Notably, the most sales growth now is in premium housing, GCC-led employment hubs, and infrastructure-driven corridors.”
The report underscores how geopolitical uncertainty can temper real estate activity even as supply-side fundamentals remain robust. The combination of rising new launches and moderating sales suggests a market moving toward equilibrium, with selective demand concentration in premium and employment-linked segments.
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