Premium Homes Dominate as Affordable Housing Sales Drop 17% YoY in 2025

India’s housing market is witnessing a structural shift toward premium homes, with properties above ₹1 crore now making up half of total sales, while affordable housing demand has dropped 17% year-on-year, according to Knight Frank India’s latest report.

Fewer Homes Sold, But Buyers Spent More: India’s Housing Market Sends Mixed Signals in 2025

India sold fewer homes in 2025, but buyers spent more than ever. Housing sales fell 14%, yet total value crossed ₹6 lakh crore—signalling a decisive shift toward premium and luxury housing.

📰 “An Average Homebuyer Now Needs Half the Years of Income to Buy a Home Compared to 15 Years Ago”

A new report shows homebuyers in India now need almost half the number of years of income to purchase a home compared to 2010. With incomes rising faster than property prices and housing loans growing 10X, affordability has significantly improved across all Tier I cities.

Home Sales May Hit ₹6.65 Lakh Crore in FY26 — But Volumes Could Flatline

India’s housing market is entering a new phase of “value growth without volume,” with ANAROCK projecting over ₹6.65 lakh crore in home sales value in FY26 — up nearly 20% year-on-year. But unit sales are expected to stagnate as luxury homes dominate new supply and affordability weakens in key cities.

Home Prices Keep Rising Even as Sales Slow

📊 Key Highlights (Q3 2025 vs Q3 2024): India’s housing market showed…