India’s residential real estate market has experienced a remarkable recovery, with the number of housing property registrations jumping by 77% over the past five years, according to a report by Square Yards. The data reveals a significant shift toward homeownership, with primary market sales making up 57% of total transactions, while secondary market (resale) transactions accounted for 43%. The report highlights a strong growth trend in both primary and secondary housing sales, driven by increased demand for both new and ready-to-move-in homes, particularly in well-established locations.
Residential Market Growth: A 77% Increase Since 2018-19
In a comprehensive analysis of India's real estate sector, Square Yards reported that 5.44 lakh residential units were registered across eight major cities in the financial year 2024-25. This marks a substantial 77% increase in registrations since the 2018-19 fiscal year, underscoring the robust recovery of the housing market post-pandemic.
Key cities like Mumbai, Bengaluru, and Hyderabad have contributed significantly to this surge, with other prominent markets including Navi Mumbai, Thane, Pune, Noida, and Greater Noida also showing strong performances. This uptick in registrations is a clear indicator of the sector’s rebound, as buyers have once again shown confidence in real estate investments.
Market Split: Primary vs. Secondary Sales
The Square Yards report also delves into the dynamics between the primary market (first sale of properties) and the secondary market (resale properties). It reveals that in FY 2024-25, primary market transactions accounted for 57% of total residential sales, while the secondary market represented 43% of the transactions.
Both segments have seen impressive growth. The primary market saw an increase from 1.84 lakh units in FY 2019 to 3.11 lakh units in FY 2025. Meanwhile, secondary market sales grew from 1.22 lakh units to 2.33 lakh units over the same period. This shift in market dynamics reflects changing buyer preferences, particularly in the post-pandemic era.
V-Shaped Recovery: Drivers of Growth
Tanuj Shori, CEO and Founder of Square Yards, emphasized that the Indian residential market’s V-shaped recovery is a significant achievement, particularly considering the disruptions caused by the pandemic. The annual housing transactions have grown sharply, from 3.07 lakh units in FY 2019 to 5.44 lakh units in FY 2025—a 77% increase.
This recovery has been primarily driven by a renewed preference for homeownership, as many buyers seek stable investments in real estate. Moreover, primary sales have been bolstered by the growing demand for newly built homes. The pandemic-induced shift in lifestyle, with many individuals and families prioritizing larger living spaces, has further fueled this trend.
Secondary Market: A Growing Preference for Ready-to-Move-In Homes
In addition to primary sales, the secondary market has gained considerable traction. The market share of secondary transactions has risen from 38% in the pre-pandemic period to 43% in FY 2025. This shift highlights an increasing preference for ready-to-move-in homes, especially in established and well-connected locations.
The secondary market’s appeal lies in its ability to offer homes that are immediately available for occupancy, a key consideration for many buyers who are eager to avoid construction delays. As Shori pointed out, this trend is particularly strong in cities where infrastructure and connectivity have been significantly enhanced in recent years.
Outlook: Continued Growth in Residential Sales
Looking ahead, the future of India's residential market appears promising. The continued recovery and increasing demand for homes, both new and resale, suggest that the housing market will maintain its upward trajectory. With the rising demand for well-located, ready-to-move-in homes, both primary and secondary markets are expected to continue expanding.
Additionally, the broader economic recovery and strengthening of consumer confidence will likely keep the residential real estate market resilient in the face of global uncertainties. The growing urbanization of India and the push for enhanced infrastructure development are also expected to contribute to long-term growth in housing sales.
Conclusion: The Resilient Indian Housing Market
The 77% increase in housing transactions over the past five years is a testament to the resilience of India’s real estate sector. The shift in consumer behavior, with a growing preference for homeownership and ready-to-move-in properties, has been a key driver of this recovery. Both the primary and secondary markets have experienced significant growth, and with favorable market conditions, the sector is poised for continued expansion in the years to come. As India’s economy strengthens and urbanization accelerates, the real estate sector remains a critical pillar of the country’s economic landscape.
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