India’s Tier-2 Real Estate Market in Freefall: Housing Sales Plunge 10%, Launches Tumble 6%

India’s tier-2 real estate is in sharp decline, with 2025 sales volumes down 10% to 1,56,181 units and new launches slipping 6%, as rising prices push affordable homes out of reach and drive premiumisation across cities.

Affordable Homes Slip Away: Construction Costs Up 40%, Affordable Housing Share Falls to 12%

Affordable housing is fast slipping out of reach for Indian homebuyers. Construction costs are up 40% in five years, and affordable housing supply has shrunk from 40% in 2019 to just 12% in H1 2025

Affordable Housing Crisis: Will Budget 2025-26 Turn the Tide?

India’s affordable housing segment, once a cornerstone of the real estate market, has witnessed a sharp decline, with its supply share dropping from 40% in 2018 to just 16% in 2024. Anuj Puri, Chairman of ANAROCK Group, highlights how changing buyer preferences, rising input costs, and diminishing government incentives have impacted this critical sector. With the Union Budget 2025-26 around the corner, there is hope that decisive policies and renewed focus could revive affordable housing and restore balance to the housing market.