Housing sales flat at Rs 1.48 lakh cr last yr in 15 tier-II cities, 10pc dip in volumes: PropEquity

Housing sales fell 10 per cent last year across 15 tier-II cities to 1.56 lakh units while remained flat in value terms at Rs 1.48 lakh crore, according to PropEquity. Real estate data analytic platform PropEquity, which is part of listed entity P E Analytics Ltd, on Thursday released the data of 15 major tier-II cities. It mentioned that housing sales value remained flat at Rs 1.48 lakh crore across the top 15 tier-II cities in 2025, but sales volumes declined 10 per cent year-on-year to 1,56,181 units. Samir Jasuja, Founder and CEO of PropEquity, said, ''The slowdown in housing sales over the past two years is largely due to a shrinking supply of homes priced below Rs 1 crore-a segment that has traditionally driven demand in tier-2 cities.'' Rising land and construction costs, along with changing buyer aspirations, are pushing new launches into higher price brackets, he added. ''As a result, tier-II markets are increasingly mirroring tier-1 cities, where volumes are declining even as prices continue to rise,'' Jasuja said. Homes priced above Rs 1 crore witnessed 9 per cent growth in sales with its share rising to 28 per cent from 23 per cent in 2024, the data showed. As per the PropEquity data, Ahmedabad saw a 8 per cent decline in housing sales to 51,148 units in 2025 from 55,315 units in the preceding year. In Surat, housing sales fell 15 per cent to 19,835 units from 23,342 units. Sales in Vadodara declined 19 per cent to 13,798 units from 17,045 units, while the demand dipped in Gandhi Nagar to 13,710 units from 13,884 units. Housing sales in Nashik declined 10 per cent to 11,188 units from 12,492 units. In Jaipur, the sales fell 5 per cent to 9,758 units from 10,271 units. Nagpur saw a 18 per cent decline in sales to 6,260 units from 7,653 units, while Bhubaneshwar witnessed a fall of 25 per cent to 4,885 units from 6,538 units. In Coimbatore, the sales fell 4 per cent to 3,702 units from 3,854 units. Housing sales in Bhopal dipped 5 per cent to 3,599 units from 3,804 units. In Goa, the demand fell marginally to 3,507 units from 3,518 units. Visakhapatnam saw a 38 per cent fall to 2,406 units from 3,858 units, while Kochi witnessed a 17 per cent decline in sales to 2,214 units from 2,659 units. However, the housing sales in Mohali rose 34 per cent to 6,118 units from 4,554 units. In Lucknow, the sales grew 6 per cent to 4,053 units last year from 3,812 units in 2024. Commenting on the tier-II housing market, Rohit Kishore, CEO of Hero Realty, said, ''Tier-II cities are seeing healthy and consistent growth in premium homebuying, particularly in the Rs 1-2 crore bracket.'' Manish Agarwal, President of CREDAI Haryana and MD of Satya Group, noted that these cities are seeing better infrastructure, improved connectivity, and growing job opportunities, leading to rising interest of both end-users and investors in acquiring residential assets. Aman Sharma, MD and Founder of Aarize Group, noted that the demand from homes above Rs 1 crore per unit is rising across the tier-II cities. ''Buyers in these markets are prioritising lifestyle-led upgrades, larger sizes, and integrated communities over affordability,'' he added. Yashank Wason, Managing Director of Royal Green Realty, said the Tier-II cities are growing in prominence in the overall real estate market.