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• PropTiger reported that Bengaluru recorded the highest year-on-year housing price growth among India’s top eight cities during Q1 2026, with average prices rising 24 per cent.
• Average residential prices in Bengaluru increased to INR 9,785 per sq ft, making it the country’s second-costliest housing market after Mumbai Metropolitan Region (MMR).
• Across the top eight cities, housing prices increased between 3 per cent and 24 per cent annually, while the weighted average crossed INR 10,000 per sq ft for the first time.
• Housing sales across the eight cities declined 2.2 per cent year-on-year to 95,973 units during the quarter, although Bengaluru, Chennai, Hyderabad and Delhi-NCR recorded sales growth.
• The report highlighted that premium and upper mid-income housing segments continued to dominate new launches across major cities including Bengaluru, MMR and Delhi-NCR.
PropTiger has stated that Bengaluru emerged as the strongest-performing residential market among India’s top eight cities during the first quarter of 2026, recording the highest annual housing price growth alongside strong sales momentum and stable supply absorption. Advertisement
According to the consultancy’s Real Insight – Residential Q1 2026 report, average housing prices in Bengaluru increased by 24 per cent year-on-year and 3 per cent sequentially to INR 9,785 per sq ft during the January–March quarter. The city recorded the second-highest average residential prices nationally after the Mumbai Metropolitan Region (MMR), where prices reached INR 15,120 per sq ft.
The report noted that Bengaluru’s annual price growth accelerated from 14 per cent in Q1 2025 despite broader cooling trends across several major residential markets. PropTiger attributed the city’s sustained housing demand to continued employment generation driven by Global Capability Centres (GCCs), startups and technology-linked sectors.
The consultancy stated that Bengaluru’s employment ecosystem has remained more resilient than traditional IT hiring cycles, creating a structurally differentiated residential demand base that continues to support absorption across premium housing segments.
Across India’s top eight residential markets — Ahmedabad, Bengaluru, Chennai, Hyderabad, Kolkata, MMR, Pune and Delhi-NCR — average housing prices increased between 3 per cent and 24 per cent annually during Q1 2026. Sequential quarterly growth ranged between 1 per cent and 9 per cent.
The weighted average residential price across these cities crossed INR 10,050 per sq ft during the quarter, marking the first time the benchmark has crossed the INR 10,000 threshold.
Among major markets, MMR recorded 20 per cent annual price growth while maintaining its position as the country’s most expensive residential market. Delhi-NCR registered 18 per cent annual growth to INR 9,534 per sq ft, although this represented moderation compared to the 43 per cent annual increase recorded during Q1 2025.
Prakash Tejwani stated that India’s residential market has entered a more disciplined growth phase where demand quality, inventory management and buyer confidence are increasingly driving market performance rather than speculative expansion.
The report highlighted that new housing launches during the quarter remained concentrated within premium and upper mid-income categories, particularly across Bengaluru, MMR and Delhi-NCR. PropTiger noted that unsold inventory within higher ticket-size housing segments could witness relatively slower absorption cycles because of longer buyer decision timelines and lower transaction liquidity compared to mass-market housing.
Despite this, the consultancy stated that inventory levels across major cities remained largely balanced, supported by stable absorption trends, near-flat supply growth and developers maintaining pricing discipline instead of pursuing volume-led inventory liquidation.
Housing sales across the top eight cities declined marginally by 2.2 per cent year-on-year to 95,973 units during Q1 2026, while new supply remained broadly stable at 93,065 units. Bengaluru, Chennai, Hyderabad and Delhi-NCR recorded annual sales growth, whereas MMR, Pune, Kolkata and Ahmedabad witnessed declines.
Bengaluru registered 15,603 residential unit sales during the quarter, making it the country’s second-largest housing market after MMR, which recorded sales of 26,116 units. On the supply side, Bengaluru saw 15,806 new unit launches during the quarter despite an annual decline of 13 per cent in fresh inventory addition.
The report stated that the remainder of 2026 is likely to depend on whether the current supply-demand equilibrium strengthens into a broader growth cycle or consolidates at existing volume levels, particularly amid evolving affordability dynamics and premium inventory absorption challenges.
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