The Delhi-NCR region experienced a significant slowdown in its real estate market during the second quarter of calendar year 2026. Housing sales in the region slumped by 14% year-on-year, totaling 10,082 units, while new housing supply also saw a 6% decline, according to data released by real estate analytics firm PropEquity.
This downturn in Delhi-NCR stands in stark contrast to the broader Indian housing market, which demonstrated resilience despite geopolitical uncertainties in West Asia. Across India's top nine cities, housing sales collectively rose by 19% year-on-year to 112,458 units in Q2 2026. This growth was supported by a substantial 43% year-on-year increase in new housing supply, reaching 117,609 units.
Regional Performance Diverges
While Delhi-NCR struggled, other major markets showed robust growth. Southern cities were particularly strong performers, with Bengaluru witnessing a 47% surge in sales (21,516 units), Hyderabad growing by 22% (14,410 units), and Chennai seeing an 18% rise (6,323 units).
The western markets also recorded strong activity. Navi Mumbai led with an impressive 61% growth in sales (11,029 units), followed by Mumbai at 32% (10,561 units), Thane at 10% (16,386 units), and Pune at 9% (18,737 units). Kolkata, however, mirrored Delhi-NCR's decline, recording a 23% year-on-year drop in housing sales.
Expert Outlook Remains Positive
Samir Jasuja, founder and CEO of PropEquity, commented on the market trends. “The Indian housing market has remained resilient despite the geopolitical uncertainties in West Asia. Southern markets continue to lead growth, while Mumbai and Navi Mumbai have also seen strong demand. Although some regions, such as Thane and Delhi-NCR, have witnessed relatively softer activity, overall market sentiment remains positive,” Jasuja stated.
He further added, “An important trend has been the rise in new supply after several quarters of constrained launches, leading to stronger absorption levels across key markets. This indicates that demand remains healthy and the ongoing conflict has had minimal impact on the real estate sector.” This suggests that while Delhi-NCR faced headwinds, the national real estate landscape appears robust, driven by increased supply and sustained buyer interest in other regions.