NCR housing sales down 17% QoQ: What's the reason?
What's the story
Housing sales in the National Capital Region (NCR) have witnessed a major decline of 17% on a quarter-on-quarter basis. According to Anarock data, the number of units sold in Q1 2026 stood at nearly 16,000. This is significantly lower than the over 19,000 units sold in the previous quarter. The decline has been attributed to negative sentiments stemming from the ongoing West Asia conflict.
Yearly growth
Delhi-NCR housing demand up 44% YoY
Despite the quarterly decline, the annual demand for housing in Delhi-NCR has seen a massive jump of 44%. The figure rose from over 11,000 units in Q1 2025 to nearly 16,000 units this year. Anuj Puri, Chairman of Anarock, said that while the long-term fundamentals of India's residential segment remain strong, "short-term tremors of the Iran War were clearly visible in the first quarter."
Market impact
7% drop in sales across 7 major cities
Puri further explained that the uncertainty induced by the war has impacted buying sentiments, especially in March. He noted a 7% drop in sales across seven major cities during Q1 2026 as compared to the previous quarter. This decline is also seen among potential Middle East homebuyers who invest heavily in Indian real estate but are now hesitant due to the ongoing conflict.
Market resilience
Market growth turns K-shaped
Rishi Raj, the CEO of Conscient Infrastructure, said the NCR market continues to show resilient demand. However, he noted that growth is becoming more K-shaped with momentum increasingly concentrated in some micro-markets and product categories. He added homebuyers are becoming more discerning and are gravitating toward the projects that seamlessly bring together location, quality, and also experience backed by credible institutions with strong balance sheets.