Indian Realty Market Enters a Steady Period: PropTiger Q1 2025 Report

India’s residential real estate market is entering a phase of careful consolidation after two years of sharp post-pandemic growth, based on the Real Insight Residential: Q1 2025 report published by PropTiger.com.

While property rates keep going up year-on-year, the pace has slowed down precipitously in recent quarters. Bengaluru and Hyderabad are still strong, both of them recording a 5% quarter-on-quarter price increase. Bengaluru mean rates touched ₹7,881 per sq ft, and Hyderabad touched ₹7,412 per sq ft during Q1 2025.

However, price appreciation has evened out in most mature markets. Delhi NCR, Mumbai Metropolitan Region (MMR), Pune, and Chennai registered no price action for the second consecutive quarter Pune, for instance, remained constant at ₹7,109 per sq ft after robust momentum in 2023.

Markets such as Ahmedabad and Kolkata reported mild recovery, registering 3.8% and 4% increases respectively after falling earlier. Ahmedabad recovered from a Q4 2024 fal l, while Kolkata recovered from a 4% fall in the earlier quarter.

“The moderation in price growth is a sign of a stabilising market dynamic,” noted Dhruv Agarwala, Group CEO of Housing.com and PropTiger.com. “This is positive for end-users and aligns with long-term sustainability while preserving value for investors and developers as well.”

The cooling trend has been evident since Q3 2024 and is indicative of wider trends in the market: a greater proportion of end-user-driven demand, more rational investor involvement, and supply better matched to actual demand than speculation.

Even in markets such as Delhi NCR, where double-digit growth was the rule in 2023, prices remained flat in Q1 2025. This indicates that the market is settling down after an overheated cycle.

In the future, PropTiger anticipates this consolidation to lay the ground for sustainable growth. With prices stabilizing and developers expected to introduce more measured projects, the industry is on course for steady performance without the possibility of overheating.