Housing Price Rises 9% In Top Cities In FY25: PropEquity

Housing prices fell by 3% each in Mumbai and Navi Mumbai with the two cities featuring amongst the costliest and fourth costliest housing market respectively.

Samir Jasuja, Founder and CEO, PropEquity said: “Housing prices have appreciated between 10-30% in Bengaluru, Kolkata, Pune and Thane. While the demand and supply have been subdued in the past one year, the rise in input cost, including land, labour and construction material, over the past couple of years have led to firming up of housing prices. The price appreciation has been growing at a slower rate, though. Average housing prices grew by 12% in top 9 cities FY24."

The weighted average price of new launches in Southern cities (Bengaluru, Chennai and Hyderabad) continued to be in sub-Rs 10,000 per sq. ft. level in FY25 with Bengaluru leading amongst the three cities.

The weighted average price of new launched projects in Bengaluru rose by 15% from Rs 8577 per sq. ft. in FY 24 to Rs 9852 per sq. ft. in FY 25.

Bengaluru recorded the highest growth at 44% between FY23-25.

Bengaluru-based real estate developer Sanjeevini Group Chairman and Founder, Umesh Gowda H.A said Bengaluru housing market continues to outperform other top cities as is reflective in the price growth over the past two years.

“The housing market is end-user driven especially after ‘return to work’ started taking effect across companies in the city. The Eastern part of the city, especially Gunjur and Varthur, with its close proximity to the IT hubs and well-established social infrastructure and connectivity, have seen demand soar. The proposed developments like metro expansion and Business Corridor will further ensure quick access to working professionals thereby further bringing homebuyers into this part of the city."

Housing prices rose by 29% in Kolkata to Rs 8009 per sq. ft. Housing prices rose by 10% to Rs 10832 per sq. ft. in Pune and by 17% to Rs 12,880 per sq. ft. in Thane in FY25.

Delhi-NCR remained the second-costliest market after Mumbai.

The weighted average price of new launched projects in Delhi-NCR rose by 5% from Rs 13396 per sq. ft. in FY 24 to Rs 14020 per sq. ft. in FY 25.

Between FY23-25, housing prices rose by 20% in Delhi-NCR.

Garvit Tiwari, Director & Co-Founder, InfraMantra, Gurugram based property consulting firm said the growth in housing prices in Delhi-NCR has moderated in FY25 suggesting that the housing market is recalibrating from the highs witnessed post-pandemic.

“The housing market continues to display strong demand and appetite for good quality projects. With a good infrastructure support, the housing market in NCR, particularly driven by the micromarkets in Gurugram like Dwarka Expressway and Southern Peripheral Road, will continue to outperform as compared to other cities."

High-end luxury projects like Tulip Crimson in Sector 70 on Southern Peripheral Road (SPR), and Vatika Sovereign Park, Westin Residences by Whiteland, Sobha Altus on Dwarka expressway, two of Gurugram’s most sought-after micromarket, have been drawing investors and end-users owing to their locational advantage, trusted legacy and good return on investment.

Experts say the two consecutive cuts in repo rate by the Reserve Bank of India (RBI) will provide some cushion to existing homebuyers, by reducing their EMIs, and new homebuyers, in form of reduced interest rate on housing loan. The reduced borrowing cost will also benefit developers thereby enabling them to expand and launch new projects.

The global uncertainties emerging out of the Trump tariffs have spooked investors with experts fearing its ramifications on India’s GDP thereby impacting housing sales and launch in the months ahead.

According to PropEquity report, housing sales have dipped 23% to 1,05,791 units while supply dipped by 34% to 80,774 in Jan-March of 2025.