Western India leads in share, North sees higher growth

New Delhi: Housing sales in India’s top 15 tier-2 cities declined by four per cent year-on-year (YoY) to 39,201 units in the July–September quarter of 2025, even as the overall sales value rose 4% to Rs37,409 crore, indicating a shift in buyer preference toward higher-value and premium homes, according to real estate data analytics firm PropEquity.

New launches dropped sharply by 10% YoY to 28,721 units during the quarter. Eight of the 15 tier-2 markets recorded a decline in sales, with Bhubaneshwar witnessing the steepest fall of 26%. Trivandrum emerged as the fastest-growing market, registering a 19 per cent rise in sales. Bhubaneshwar also posted the highest contraction in new launches, plunging 88 per cent YoY. In total, eight cities saw a drop in new supply. Ahmedabad retained its position as the largest tier-2 market in terms of both sales and new launches.

Samir Jasuja, Founder and CEO of PropEquity, said the decline in new supply is particularly pronounced in the affordable and mid-income categories.