According to recent data from PropTiger covering the July-September quarter of 2025, housing prices in India’s eight major metropolitan markets have jumped by 7 % to 19 % year-on-year, driven by strong demand, evolving buyer preferences and infrastructure upgrades. In the combined region of Delhi‑NCR, the weighted average price for homes in the primary market increased by a substantial 19 %, from approximately ₹7,479 per sq ft a year ago to about ₹8,900 per sq ft in Q3 2025. Bengaluru saw a strong 15 % year-on-year rise, with prices rising from Rs₹7,713 per sq ft to Rs₹8,870. Hyderabad recorded a 13 % increase — homes averaging around Rs₹7,750 per sq ft compared to Rs₹6,858 per sq ft a year earlier. In Ahmedabad, prices rose by about 7.9 % to Rs₹4,820 per sq ft (from Rs₹4,467). Chennai saw a Rs9 % increase, with average prices around Rs₹7,173 per sq ft (from Rs₹6,581). In Kolkata, the rise was Rs8 %, with prices moving to Rs₹6,060 per sq ft from Rs₹5,611. The Mumbai Metropolitan Region (MMR) posted a 7 % increase — from Rs₹12,383 per sq ft to Rs₹13,250 per sq ft. In Pune the Rs9 % rise took average prices to Rs₹7,250 per sq ft from Rs₹6,651.
Several key factors emerge from the report and commentary from industry insiders:
Strong buyer demand — Particularly in markets such as Delhi-NCR and Bengaluru, end-user demand remains robust, often bolstered by investor interest as well. For instance, Bengaluru’s growth was described as reflecting “solid market fundamentals and growing homebuyer confidence.”
Premiumisation and quality upgrade — In Delhi-NCR, one commentator noted that the upward trajectory is “reflects the market’s deepening fundamentals rather than short-term buoyancy,” pointing to a shift toward more premium launches, enhanced lifestyle offerings and evolving buyer expectations.
Infrastructure & connectivity improvements — Especially in Delhi-NCR, corridors like the Dwarka Expressway are cited as catalysts — improved connectivity and infrastructure completion are helping drive value creation in residential markets.
Implications for buyers and developers
For homebuyers, the price uptick signals that deferred purchase decisions may cost more as markets march higher. Buyers seeking long-term value may need to act sooner rather than later, especially in high-growth cities.
For developers, the premiumisation trend underscores the importance of product differentiation — quality finishes, lifestyle amenities, superior location and connectivity are increasingly rewarded.
From a macro real-estate market standpoint, the double-digit growth in several major metros indicates a healthy revival phase, even though some markets (e.g., MMR) are growing at a more modest pace (Rs7 %).
Industry Views
“India’s housing market continues to display remarkable resilience, with prices in key cities rising between 7% and 19% over the past year. This growth underscores a structural shift driven by stronger buyer confidence, improved infrastructure, and the rise of trusted developers delivering long-term value. In the Delhi-NCR region, particularly, the upward trend reflects a preference for quality living and lifestyle-led investments. We view this as a sign of maturity in India’s real estate sector—where sustainable growth is being powered by end-user demand, transparency, and an increasing focus on responsible development.”
— Mohit Mittal, CEO, MORES
While growth is strong, it is not uniform: some cities like Ahmedabad and MMR show more modest increases (Rs7-8 %) — suggesting that local market dynamics (supply-demand balance, connectivity, affordability) matter. Rapid price rises raise questions around affordability, especially for first-time buyers and salaried segments — if incomes don’t keep up, the risk of affordability gaps emerges. Real-estate markets are also subject to regulatory, interest-rate and macroeconomic headwinds — maintaining momentum requires sustained demand, favourable financing, and pipeline management.
