India residential sales rise 8% in Q1 2026 as new launches surge 13%
Synopsis
India sold over 70,000 homes in Q1 2026 — but the real story is the dramatic shift upmarket. Premium homes above ₹1 crore now account for 71% of all sales, up from 59% a year ago, while the affordable sub-₹1 crore segment shrank by nearly a quarter. The divergence between launches and sales is widening, and JLL says it is a healthy adjustment — not a warning sign.
Key Takeaways
India recorded 70,631 residential sales in Q1 2026 , up 8% year-on-year .
New launches rose 13% year-on-year to 90,023 units , with a 32% quarter-on-quarter surge led by Bengaluru and Delhi NCR .
Homes priced above ₹1 crore accounted for 71% of sales, up from 59% in Q1 2025 — a 30% year-on-year increase.
The ₹1.5–3 crore band saw an exceptional 67% year-on-year growth.
The sub- ₹1 crore segment contracted 24% year-on-year , with market share falling to 29% from 41% .
Chennai led city-level growth at 61% year-on-year , followed by Delhi NCR at 30% , Bengaluru at 18% , and Hyderabad at 6% .
India's residential property market recorded 70,631 home sales in Q1 2026, marking an 8% year-on-year increase, even as new project launches surged 13% year-on-year to 90,023 units, according to a report released on 30 April 2026 by commercial real estate services firm JLL. The data signals continued momentum in the housing sector, though a slight moderation in buyer pace relative to supply has emerged.
Key Developments in Q1 2026
New launches recorded a sharp 32% quarter-on-quarter jump, led by Bengaluru and Delhi NCR. According to JLL, the strong supply pipeline from reputed developers provided buyers with diverse options and reinforced confidence in market stability, contributing to steady sales growth. However, sales growth trailed launch activity by 5 percentage points, reflecting what the report describes as a more measured buyer approach amid current economic conditions.
Siva Krishnan, Senior Managing Director (Chennai & Coimbatore) and Head of Residential Services, India, JLL, said:
Point of View
But the more consequential trend is the accelerating exodus from affordable housing. When the sub-₹1 crore segment contracts by 24% in a single year and its market share drops 12 percentage points, it raises urgent questions about housing access for middle- and lower-income buyers. Developer incentives are clearly tilted toward premium margins, and without a policy correction on affordable supply, the structural gap will only widen. JLL's framing of the sales-launch divergence as a 'healthy adjustment' is reasonable in the short term, but sustained divergence risks a supply overhang in the premium segment — a pattern seen in several global markets before corrections.
NationPress
1 May 2026
Frequently Asked Questions
How did India's residential market perform in Q1 2026?
India's residential market recorded 70,631 home sales in Q1 2026, up 8% year-on-year, according to a JLL report released on 30 April 2026. New launches also surged 13% year-on-year to 90,023 units, with a sharp 32% quarter-on-quarter jump.
Which cities led residential sales growth in Q1 2026?
Chennai led with 61% year-on-year growth, followed by Delhi NCR at 30%, Bengaluru at 18%, and Hyderabad at 6%, according to the JLL report. Both Bengaluru and Delhi NCR also led the surge in new launches.
Why is the affordable housing segment declining in India?
The sub-₹1 crore housing segment contracted 24% year-on-year in Q1 2026, with its market share falling to 29% from 41% in Q1 2025. JLL attributes this to rising land and construction costs, limited affordable supply in core urban areas, and developers' strategic focus on higher-margin premium projects.
What is driving premium housing growth in India?
Homes priced above ₹1 crore accounted for 71% of all residential sales in Q1 2026, up from 59% in Q1 2025 — a 30% year-on-year increase. The ₹1.5–3 crore band saw an exceptional 67% year-on-year growth, driven by buyer preference for spacious, well-appointed homes in prime locations with strong corporate and infrastructure presence.
Is the gap between new launches and sales a cause for concern?
According to JLL's Siva Krishnan, the divergence between sales and new launches is 'not unusual and reflects a healthy market adjustment and not a structural concern.' Sales growth trailed launch activity by 5 percentage points in Q1 2026, which JLL characterises as a measured buyer response to current economic conditions.
