Housing mkt sees room for growth after 3-qtr lull

20235 likely to end with sales volumes below 2024 level

- PRACHI PISAL & SANKET KOUL

After three straight quarters of decline, India’s housing market is pinning hopes on the ongoing festival season to revive sales momentum.

While 2025 may still end with sales volumes below the 2024 level, developers believe the seasonally strong October-December quarter could narrow the gap, aided by stable interest rates, festival incentives, and resilient demand in the premium segment.

According to Anarock, housing sales in Q3 2025 dropped 9 percent year-on-year (Y-0-Y) to 97,080 units, even as total sales value rose 14 per cent to around ₹1.52 trillion, reflecting a shift towards higher-value homes. In Q1 and Q2 of 2025, sales had fallen 28 per cent and 20 percent Yo-Y, respectively.

‘We may see a more muted pace compared to 2024, primarily because this year has witnessed the convergence of multiple macroeconomic and geopolitical challenges. While housing sales have declined over the past three quarters, the residential market has displayed marked resilience,” said Santhosh Kumar, vice-chairperson, Anarock Group.

He added that the festive quarter typically contributes around 35 per cent of annual housing sales. “We can expect a sales boost in the ongoing festival quarter as the underlying fundamentals and buyer confidence remain strong,” he said.