Mumbai Metropolitan Region Retains Lead as India's Largest Housing Market Despite Q2 Demand Slowdown

The report stated that approximately 28,710 homes were sold across MMR between April and June 2026, making it the country's strongest residential market during the quarter. However, home sales declined by eight per cent compared with the corresponding quarter of 2025 and fell by 12 per cent from the previous quarter, reflecting a broader slowdown in the housing sector.

Despite softer demand, developers remained active in the region by launching nearly 34,555 new residential units during the quarter. MMR accounted for the largest share of fresh housing supply among India's seven major cities. New project launches increased by 23 per cent compared with the same period last year, although they declined by 14 per cent from the previous quarter.

The report highlighted that more than 57 per cent of all newly launched homes in MMR were priced below Rs 1.5 crore, indicating sustained demand in the mid-premium housing segment.

Across India's seven major residential markets, housing sales declined by six per cent year-on-year to approximately 90,715 units during the April-June 2026 period, compared with 96,285 units recorded during the corresponding quarter of 2025.

According to ANAROCK, the slowdown was primarily driven by uncertainty arising from the conflict in West Asia, which disrupted global supply chains and weakened homebuyer confidence. The report also pointed to growing concerns regarding the impact of artificial intelligence on employment within the information technology and information technology-enabled services sectors, prompting many prospective buyers to postpone purchasing decisions.

MMR and Bengaluru together accounted for 48 per cent of all residential sales during the quarter. While Mumbai remained India's largest housing market with approximately 28,710 units sold, Bengaluru secured the second position with around 15,285 home sales.

The two metropolitan markets also contributed 53 per cent of all new residential project launches across the country's seven leading cities, underlining their continued dominance in India's housing sector.

The report further revealed that developers across the country continued prioritising premium residential projects. Homes priced between Rs 80 lakh and Rs 1.5 crore represented the largest share of new launches at 27 per cent, followed by residential properties priced between Rs 1.5 crore and Rs 2.5 crore. Affordable housing remained limited, accounting for only six per cent of the total new residential supply.

Residential property prices across the seven major cities increased by seven per cent over the past year. However, quarterly price growth slowed to one per cent, suggesting that the pace of appreciation has moderated compared with previous periods.

ANAROCK Chairman Anuj Puri stated that India's residential property market is entering a more balanced phase, with fresh housing supply aligning more closely with buyer demand as overall sales moderate. He noted that several large and publicly listed developers continued launching projects on land acquired during 2025, reflecting long-term confidence in the housing sector despite current market challenges.

He also observed that persistent uncertainty surrounding global developments and relatively weaker buyer sentiment prompted several developers to reduce the pace of new project launches compared with the previous quarter.

Despite the decline in quarterly sales, the Mumbai Metropolitan Region continues to demonstrate resilience through sustained buyer demand, extensive infrastructure development and continued investments by leading real estate developers. With a robust pipeline of upcoming residential projects, MMR is expected to remain the focal point of India's housing market in the months ahead.