by Deepak Sawant 
Housing crisis Huge drop in home sales under ₹1 crore. A JLL India report says sales of these affordable apartments in seven major cities—Mumbai, Delhi-NCR, Kolkata, Chennai, Hyderabad, Bengaluru, and Pune—dropped 32% from January to June 2025. Only 51,804 units were sold. Overall apartment sales also fell 13% compared to last year, with 1,334,776 units sold.
Luxury Homes Are Booming
While affordable homes struggle, luxury apartments costing over ₹1 crore are selling more, up 6% with 82,972 units sold. These pricey homes now make up 62% of total sales, compared to 51% last year. Affordable homes dropped from 49% to 38%. Bengaluru, Mumbai, and Pune lead this trend, making up 63% of luxury sales.
Why Is This Happening?
JLL’s Chief Economist, Samantak Das, says people want bigger, fancier homes with modern features, good locations, and better connectivity. Rising incomes and changing lifestyles are driving this. Builders are focusing on luxury projects, with a 110% jump in new premium developments in cities like Kolkata, Chennai, and Bengaluru. This means fewer affordable homes are available.
Prices Are Up, Options Are Down
With fewer affordable homes, prices are rising—17% in Delhi-NCR and 14% in Bengaluru. This makes it harder for middle-class buyers to find homes they can afford.
Some Hope
The Reserve Bank of India recently cut the repo rate by 1%, which could lower home loan interest rates and boost demand for affordable homes. But for now, luxury homes are dominating.
What’s Next?
This trend is tough for middle-class buyers as affordable homes become harder to find and more expensive. Will this make things worse, or will demand for affordable homes return? Share your thoughts below and stay updated.
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