Housing Prices Rise in Top 8 Cities, Bengaluru Sees Highest Growth
Housing Prices Rise Across Eight Major Indian Cities in Q1 2026
Housing prices in eight major Indian cities experienced a broad-based upcycle in the first quarter of 2026, with Bengaluru witnessing the maximum appreciation. According to PropTiger, a real estate consultant that tracks the primary housing market of Ahmedabad, Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai Metropolitan Region (MMR), Pune, and Delhi-NCR, the average annual price growth in these cities ranged from 3% to 24% during the January-March period.
The average housing price in Bengaluru rose 24% to Rs 9,785 per sq ft during January-March, making it the top performer in the list. In contrast, Chennai witnessed the least price growth, with an increase of 3% to Rs 4,217 per sq ft.
| City | Q1 2026 Price Growth | Average Price (Rs/sq ft) |
|---|---|---|
| Bengaluru | 24% | 9,785 |
| MMR | 20% | 15,120 |
| Delhi-NCR | 18% | 9,534 |
| Pune | 12% | 6,354 |
| Hyderabad | 11% | 5,434 |
| Ahmedabad | 8% | 4,217 |
| Kolkata | 7% | 3,654 |
| Chennai | 3% | 4,217 |
Read also: Treasury Yields Experience Largest Increase in Two Weeks Following Release of Labor Market Data
The robust growth in housing prices reflects the depth and resilience of the underlying demand in the Indian residential market, according to PropTiger. The company's CEO, Prakash Tejwani, attributed the growth to the increasing demand quality, inventory discipline, and buyer confidence in the market.
In Delhi-NCR, the residential market demonstrated both resilience and maturity, with Gurgaon at the heart of this transformation. Over the last decade, the city has delivered an 8-10% CAGR, clearly outperforming inflation. Deepak Sangwan, Chairman of Origen Realty, attributed the rise in prices in NCR to infrastructure development, enhanced connectivity, and growing demand for premium homes.
Realty firm Vaishnavi Group Executive Director Darshan Govindaraju attributed the strong housing demand in Bengaluru to robust fundamentals such as the availability of quality talent, presence of domestic and global organisations, and a thriving start-up ecosystem.
Investor Takeaway
Investors should consider the potential for continued growth in the real estate market, particularly in cities with high demand and limited supply.
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