Maharashtra's Real Estate Slows Down in Q2 2025 While Delhi and Chennai Surge Ahead

Mumbai, June 27, 2025 – Maharashtra’s key property markets — including Mumbai, Thane, Navi Mumbai, and Pune — experienced a notable dip in housing sales and new supply during the second quarter of 2025, according to recent data from real estate analytics firm PropEquity. In contrast, cities like Delhi NCR and Chennai defied the trend, showing robust growth in both sales and supply.

This shifting trend across India’s top housing markets highlights a period of market correction, fueled by rising prices, investor caution, and localized factors such as political climate and festive season sentiments.

 

Sharp Decline in Maharashtra Markets

Once considered India's most dynamic real estate hub, Mumbai and its surrounding regions have seen significant slowdowns.

According to PropEquity:

• Mumbai saw housing sales drop 34% year-on-year, from 12,114 units in Q2 2024 to just 8,006 units in Q2 2025.
• New launches in Mumbai plummeted even more dramatically, falling 61% to 4,949 units compared to 12,610 units the previous year.

This decline wasn't isolated. Neighboring cities followed a similar path:

• Thane recorded a 34% fall in sales and a 58% drop in new launches.
• Navi Mumbai saw a 17% fall in sales and a 56% decline in new supply.
• Pune, considered the third most impacted market among the top nine cities, witnessed a 27% dip in sales and 40% reduction in new supply.

 

Other Cities Follow Suit — But Not All
 

The slowdown trend extended beyond Maharashtra, affecting parts of southern and eastern India:

• Hyderabad experienced a 20% drop in sales, though it paradoxically saw a 19% increase in new launches.
• Bengaluru showed resilience with a milder 6% dip in sales and a 13% drop in supply.
• Kolkata, in eastern India, also saw declines — sales dipped 8%, and new launches fell 35%.

These figures suggest that while Maharashtra markets are undergoing sharper corrections, several other metros are facing moderate slowdowns, driven by both macroeconomic and city-specific factors.

 

 Delhi NCR and Chennai Buck the Trend

While most cities are grappling with a downturn, Delhi NCR and Chennai emerged as the only two markets showing positive momentum in both housing sales and supply.

Delhi NCR:

• Sales increased 16% year-on-year, reaching 11,703 units in Q2 2025 from 10,114 units a year earlier.
• New supply surged 37%, rising to 13,823 units from 10,084 units.

Chennai:

• Sales went up 9%, increasing from 4,927 units to 5,354 units in Q2 2025.
• New launches also saw a 6% rise, reaching 6,463 units from 6,123 units in Q2 2024.

According to experts, Chennai’s performance can be attributed to its relatively smaller market size and tighter control over supply, while Delhi NCR benefited from a rise in development in areas like Ghaziabad and Greater Noida.

 

Why the Sudden Slowdown?

The broader real estate market across India’s top nine cities is expected to decline 19% in sales and 30% in new supply year-on-year in Q2 2025, per PropEquity data. Experts believe the dip is part of a natural correction phase after several quarters of record highs.

Samir Jasuja, CEO of PropEquity, explains:

“Mumbai, Bengaluru, and Navi Mumbai had seen peak performance in 2023 and 2024. What we’re seeing now is a market stabilizing after a period of rapid growth. Prices have surged between 50% and 200% in just a few years — so a cooling-off phase was expected.”

 

Investor Caution, Festive Timing Add to the Pressure

High property prices and investor fatigue have led many potential buyers to pause their investments. Additionally, with the festive season approaching, some buyers are holding off in hopes of better deals and more auspicious buying windows.

Bhavesh Shah, Joint MD of Today Group, points out:

“Some of the current dip is also tied to geo-political uncertainties and local buyer behavior. Many buyers wait for the festive season to make big purchases. It's also a strategic time for developers to launch better offers.”

Shah also added that the slowdown is not universal, stating:

“We have seen consistent demand across our projects in Navi Mumbai. The decline isn’t visible in all micro-markets. Location and developer credibility still play a big role.”

 

What's Next for India's Housing Market?

While the numbers for Q2 2025 indicate a temporary slowdown, industry experts remain optimistic about the second half of the year. With the festive season approaching, developers are likely to ramp up their marketing and launch attractive offers to attract hesitant buyers.

“We believe the market will see a sharp rebound by Q4, especially in tier-1 cities like Mumbai and Pune. Buyers who have delayed decisions will return once prices stabilize or incentives improve,” said a senior analyst at a leading real estate firm.

The real estate sector in India has always been cyclical, and the current correction may be laying the groundwork for a healthier, more sustainable phase of growth.

City	Sales YoY Change	New Supply YoY Change
Mumbai	-34%	-61%
Thane	-34%	-58%
Navi Mumbai	-17%	-56%
Pune	-27%	-40%
Hyderabad	-20%	+19%
Bengaluru	-6%	-13%
Kolkata	-8%	-35%
Delhi NCR	+16%	+37%
Chennai	+9%	+6%

 

Final Thoughts

 

Q2 2025 has proven to be a transitional quarter for India’s housing market. While sales and supply have dipped in most metros — especially Maharashtra — it may be more of a temporary correction than a long-term slump.

Markets like Delhi NCR and Chennai show that strong fundamentals, right pricing, and balanced inventory can still drive growth. As the festive season nears, both developers and homebuyers will be watching closely — and perhaps, getting ready for a better Q3 and Q4 ahead.