Real Estate

Lodha Group has strengthened its long-term growth strategy by acquiring land parcels earmarked for projects with an estimated development value of Rs 34,000 crore. The move reflects rising confidence among large developers in India’s urban housing and mixed-use real estate demand. By expanding its land bank at a time of improving sales momentum and stabilizing interest rates, the group is positioning itself to capture future residential and commercial opportunities.

Keystone Realtors reported a modest decline in sales during the third quarter, with booking value falling 3% year-on-year to Rs 837 crore. The softer performance reflects a phase of selective demand in the residential real estate market, where buyers are increasingly cautious amid higher interest rates and elevated property prices. While underlying housing demand remains intact in key urban markets, execution timelines, project mix, and buyer preference shifts influenced quarterly numbers.

India’s residential real estate market witnessed a contrasting trend as housing sales softened while property prices continued to rise across the top eight cities. Moderating demand, affordability pressures, and selective buyer caution led to a dip in transaction volumes, even as strong input costs, limited premium inventory, and sustained end-user interest supported price appreciation. The divergence highlights a market transitioning from rapid post-pandemic expansion to a more balanced phase.

Lodha Developers delivered a strong performance in the third quarter, reporting a 25% increase in sales as residential demand remained resilient across key urban markets. The growth was driven by sustained buyer interest in mid-income and premium housing, supported by stable interest rates, improving consumer confidence, and faster project execution. The company benefited from healthy bookings, higher average realizations, and steady momentum in ongoing launches.

Sobha Ltd reported a sharp 52 percent increase in sales, reflecting a strong rebound in residential housing demand across its core markets. The performance was driven by higher booking volumes, improved buyer sentiment, and steady absorption of new and ongoing projects. Demand remained particularly robust in urban centres, where end-users and investors showed renewed confidence in branded developers. Efficient project execution, disciplined inventory management, and a focus on quality helped translate market momentum into sales growth.

Private equity investment in real estate rose sharply to $6.7 billion, underscoring renewed confidence in the sector amid improving fundamentals and selective value creation opportunities. The uptick reflects stronger deal flow across commercial office spaces, warehousing, logistics parks, and income-generating assets, supported by stable demand and disciplined pricing. Investors are increasingly favoring assets with long-term cash-flow visibility and resilience to economic cycles.

Home registrations across nine major Indian cities declined by 5 percent in the latest reporting period, indicating a temporary cooling in residential real estate activity after a prolonged phase of strong demand. The moderation reflects a mix of affordability pressures, higher borrowing costs, and cautious buyer sentiment, particularly in mid-income housing segments. While end-user demand remains intact, transaction volumes have softened as purchasers reassess budgets amid elevated property prices.

India’s residential real estate sector experienced a notable slowdown in 2025, with housing sales across seven major cities declining by 14% compared to the previous year, according to Anarock Research. The contraction reflects a combination of high property prices, rising interest rates, and cautious buyer sentiment amid macroeconomic uncertainties. Despite the slowdown, certain micro-markets and affordable housing segments showed resilience, suggesting selective demand persists.

Prestige Estates has acquired a significant parcel of land in Chennai to develop a large-scale residential project, reinforcing its long-term commitment to India’s urban housing market. The transaction reflects the developer’s confidence in sustained homebuyer demand, supported by infrastructure upgrades, steady employment growth, and rising urbanization in the region. By strengthening its land bank in a key southern market, Prestige aims to enhance project visibility and revenue certainty over the coming years.

LIC Housing Finance has announced a reduction in its home loan interest rates, bringing the starting rate down to 7.15%. The move comes at a time when affordability and housing demand are closely linked to borrowing costs. By easing interest rates, the lender aims to support first-time homebuyers, encourage refinancing, and stimulate demand across the residential real estate sector. The decision reflects improving liquidity conditions and competitive pressures within the housing finance market.