Mumbai: India’s residential real estate market is witnessing increasingly distinct demand patterns, with homebuyers balancing affordability and premium living preferences across different cities, according to the latest Magicbricks PropIndex Q2 2026 covering the April–June quarter.
The report indicates that developers continue to prioritise larger residential configurations, while homebuyer demand is becoming more segmented based on regional affordability, rising incomes and changing lifestyle requirements.
According to the report, 3 BHK homes account for 46% of the active residential housing supply across the country, underscoring developers’ confidence in sustained demand for larger family homes. The growing preference for spacious residences is being driven by evolving living patterns, including hybrid work arrangements, multi-generational households and an increased focus on overall quality of life.
While larger homes continue to dominate new supply, affordability remains a key demand driver across several emerging residential markets. The report identifies Kolkata, Ahmedabad, Pune and Greater Noida as cities where homebuyers continue to show the strongest preference for properties priced below INR 75 lakh, reinforcing the resilience of the value housing segment.
At the same time, premium housing demand is expanding beyond India’s traditional luxury markets. The Magicbricks PropIndex Q2 2026 highlights growing demand for homes priced between INR 1.5 crore and INR 3 crore across Bengaluru, Hyderabad, Gurugram and Noida, reflecting higher household incomes, changing lifestyle aspirations and the continued economic growth of the country’s major technology and business centres.
The report also notes that the luxury residential segment remains concentrated in a limited number of markets. Mumbai, Gurugram and New Delhi continue to lead demand for ultra-premium housing, reinforcing their position as India’s primary destinations for high-value residential real estate.
Also Read: Flight to Quality: Why Premium Housing Is Reshaping India’s Residential Real Estate Market
Overall, the findings suggest that India’s residential property market is becoming increasingly segmented. While affordable housing continues to underpin demand in several cities, developers are simultaneously responding to rising demand for larger homes and premium residential offerings, resulting in more differentiated housing trends across regional markets.
