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The CREDAI–Liases Foras report on India’s residential real estate market shows strong value-led growth across 50 major cities during 2025. Primary sales reached 614,218 units with a total value of INR 8.46 lakh crore, marking a 16% rise in value terms compared to the previous year. Premium housing continued to dominate, with properties above INR 1 crore contributing 78% of total sales value. The report also highlights steady price appreciation in key cities, balanced supply conditions, and the growing economic role of real estate, which now contributes 7.1% to India’s GDP.
The CREDAI, in collaboration with Liases Foras, has released its Indian Real Estate CY 2025 assessment covering residential trends across 50 major cities. The report indicates that the housing market has continued to show resilience, supported by stronger buyer demand for premium homes, rising aspirations, and infrastructure-led urban growth. Advertisement
Primary residential sales in the builders’ market stood at 614,218 units during 2025, with a total transaction value of INR 8.46 lakh crore. This reflects a 16% year-on-year increase in value, even though unit growth remained moderate compared to the previous year. The report notes that this shift is mainly driven by buyers preferring larger homes, better amenities, and lifestyle-oriented residential projects, which has pushed overall transaction values higher.
On the supply side, developers followed a measured approach in launching new projects in line with demand. Around 4.99 lakh new residential units were launched across the 50 cities, while unsold inventory was estimated at approximately 9.63 lakh units. This indicates that supply conditions remained relatively stable, with no major mismatch between demand and availability in key urban markets.
A major highlight of the report is the continued dominance of premium housing. Homes priced above INR 2 crore accounted for 51% of total sales value, while the INR 1 crore to INR 2 crore segment contributed 27%. Together, these luxury and ultra-luxury categories formed the bulk of market value. The mid-income segment, priced between INR 50 lakh and INR 1 crore, contributed around 16%, while affordable housing in the INR 30 lakh to INR 50 lakh range accounted for 5%. Properties under INR 30 lakh, including those under Priority Sector Lending norms, formed just 1% of total value.
The report also highlights the wider economic importance of the sector. India’s real estate industry is valued at approximately INR 23.5 trillion and contributes 7.1% to the country’s GDP. Within this, the residential segment alone accounts for nearly 83%, estimated at around INR 19.5 trillion. This reflects the sector’s strong role in employment generation, urban expansion, and overall economic activity.
Metropolitan cities continued to lead the market in terms of sales value. Greater Mumbai recorded the highest value at INR 1,33,005 crore, followed by Hyderabad at INR 1,08,406 crore, Gurgaon at INR 1,07,096 crore, Bangalore at INR 1,02,240 crore, and Noida & Greater Noida at INR 42,267 crore. These cities have benefited from steady job creation, infrastructure expansion, and sustained interest from both end-users and investors.
Price trends also showed consistent growth across key markets. Bangalore recorded the strongest increase in the House Price Index during 2025, followed by Hyderabad, Ahmedabad, Pune, and Greater Mumbai. The report attributes this to healthy demand conditions and steady absorption levels across major urban centres.
In its comments, CREDAI leadership noted that the shift toward high-value housing reflects rising household income levels and improving investor confidence. It was also observed that infrastructure initiatives and urban development programmes have supported this transition toward premium housing demand.
Liases Foras, in its observations, highlighted that while top metros continue to dominate in overall value, Tier-2 cities are emerging as important growth centres. Improved connectivity, expanding employment hubs, and infrastructure-led development are gradually strengthening housing demand in these regions.
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