Mumbai: Housing affordability remains a key challenge for Indian homebuyers, with 81% of respondents expressing concern about soaring property prices, according to the ANAROCK Consumer Sentiment Survey H1 2025.
The findings highlight sharp demand shifts, affordability challenges, and evolving buyer preferences across India’s top real estate markets.
The survey reveals that over 81% of buyers across India are worried about property price hikes, as residential prices in the top seven cities have increased by more than 50% in two years—from ₹6,001 per sq. ft. in Q2 2023 to ₹8,990 per sq. ft. in Q2 2025.
Interestingly, the Mumbai Metropolitan Region (MMR) emerged as an exception. Despite being India’s costliest real estate market, only 39% of buyers expressed serious concern. Instead, 20% of MMR respondents were not at all concerned, while 41% were only moderately affected.
According to ANAROCK Chairman Anuj Puri, strong market fundamentals, inward migration, and continuous infrastructure upgrades support this sentiment.
ANAROCK Consumer Sentiment Survey H1 2025: Rising Prices a Major Concern
The ANAROCK Consumer Sentiment Survey H1 2025 highlights a steep decline in affordable housing demand. Just 17% of buyers in H1 2025 sought homes priced under ₹45 lakh, compared to 40% in H1 2020.
Supply has also fallen, with affordable housing making up just 12% of new launches in H1 2025, down from 18% in H1 2023 and 40% in 2019.
Buyer dissatisfaction remains high—
- 62% of affordable housing seekers are discouraged by current options
- 92% cite poor project locations
- 90% highlight low construction quality and poor design
- 77% believe unit sizes are too small
Budget Preferences Shifting
The survey notes a clear move toward mid and premium housing:
- 36% of buyers prefer homes between ₹90 lakh and ₹1.5 crore
- 25% seek homes in the ₹45 lakh to ₹90 lakh range
- Larger homes remain in demand, with 45% preferring 3BHKs.
- Declining Interest in Ready-to-Move-In Homes
The ANAROCK Consumer Sentiment Survey H1 2025 shows that demand for ready-to-move-in (RTM) homes is weakening. The ratio of RTM demand to new launches fell to 16:29 in H1 2025, down from 20:25 in H1 2024, and significantly lower than 46:18 in H1 2020.
End-Users vs. Investors
The survey finds that 65% of buyers are end-users, while investors remain cautious. Bengaluru has the highest share of investors at 43%, while Delhi-NCR records the lowest at 26%.
Real Estate as the Top Investment Asset
Among investment avenues, 63% of respondents selected real estate as the most preferred asset class, up 4% from the previous year. Additionally, 70% of millennials and 46% of Gen-X respondents indicated plans to use their investment gains to purchase a home soon.
(Note: The ANAROCK Consumer Sentiment Survey H1 2025 was conducted between January and June 2025, with participation from 8,250 respondents across 14 cities.)
