Housing sales fall below 1 lakh units after 18 quarters as supply declines in Q1 2026: Prop Equity

Property Pulse, March 30, Hyd.  

Housing sales in India’s top 9 cities fell below the 1 lakh unit mark after 18 quarters in Q1 2026, reflecting lower supply across major markets. Housing sales declined 13 percent year-on-year and 6 percent quarter-on-quarter to 98,761 units in January–March 2026. New launches also fell 19 percent year-on-year and 8 percent quarter-on-quarter to 92,411 units, according to PropEquity. The decline reflects lower supply across cities. Around 22,000 fewer units were launched in Q1 2026 compared to the same period last year.

Bengaluru recorded 17,991 units in sales, the highest among the top 9 cities. Sales in the city rose 16 percent quarter-on-quarter and 3 percent year-on-year. The city also recorded 17,782 units in new launches, with 10 percent quarter-on-quarter growth and a 24 percent year-on-year decline.

Delhi-NCR recorded 12,141 units in sales, with 13 percent year-on-year growth and a 1 percent quarter-on-quarter decline. On the supply side, the region recorded 17,227 units in launches, with 89 percent year-on-year growth and 8 percent quarter-on-quarter growth. It was the only city to record growth in both sales and supply among the top 9 cities. This indicates higher supply addition during the quarter, while sales did not increase at the same pace. 

Chennai recorded 2,909 units in launches, with 12 percent quarter-on-quarter growth and a 62 percent year-on-year decline in supply. All other cities recorded a decline in both sales and new launches during the quarter.

Housing sales moderated in the first quarter of 2026 due to lower supply across most cities, with Delhi-NCR and Bengaluru recording higher activity compared to other markets. Around 22,000 fewer units were supplied in Q1 2026 compared to the same period last year, said Samir Jasuja, Founder and CEO, PropEquity.

The trend indicates that housing activity is linked to supply levels across cities. Lower launches affect sales, while some markets continue to record movement based on supply and pricing. It also shows variation across cities, with activity concentrated in select markets. The data indicates the need to track supply, pricing, and absorption levels across cities in the coming quarters.