Home / Business and Economy / Affordable Home Sales Plummet 23% in Q1 2026
Affordable Home Sales Plummet 23% in Q1 2026
26 Apr
Summary
- Affordable homes under Rs 50 lakh sales fell 23% to 16,273 units.
- Mid and premium segments saw sales rise by 10% and 17% respectively.
- Overall housing sales declined 4% due to high prices and conflict.
Sales of affordable housing across India's top eight cities experienced a significant downturn in the first quarter of 2026. Homes priced below Rs 50 lakh saw a sharp 23% year-on-year decrease, totaling 16,273 units. This decline was primarily attributed to a reduction in new supply within this segment.
The Rs 50 lakh to Rs 1 crore segment also reported a 12% drop in sales, reaching 23,567 units. Consequently, the share of homes priced under Rs 1 crore in total sales fell to 47% from 54% in the prior year.
In contrast, the mid and premium housing markets demonstrated resilience. The Rs 1-2 crore bracket saw a 10% increase, while the Rs 2-5 crore category surged by 17%. Even higher-value segments like Rs 10-20 crore and Rs 20-50 crore recorded substantial growth.
Overall housing sales across all price points declined by 4% annually, settling at 84,827 units. This broader market slowdown was influenced by sustained high prices, softening demand, and global geopolitical tensions. New supply also saw a marginal dip of 2%.
