The ongoing conflict in the Middle East has made a significant dent in the demand for housing as economic uncertainties remain high despite an interim peace agreement between the US and Iran. The first quarter of 2026 recorded a 6% plunge in housing sales, says the data released by Anarock on Monday.According to the data, 96,285 units were sold across the top seven cities- Mumbai Metropolitan Region (MMR), Delhi-NCR, Pune, Bengaluru, Hyderabad, Chennai and Kolkata, while they recorded a year-on-year average price appreciation of 7% in the first quarter of 2026. Among these cities, the Delhi-NCR market saw the highest price appreciation during April-June at 13% annually.When compared against the latest report by listed entity PropEquity, real estate consultant Anarock’s sales data for April-June quarter stand in complete contrast. The former mentions a 19% growth in sales of residential properties at 1,12,458 units in the current quarter.Commenting on its data, Anarock Chairman Anuj Puri said, “These readings are along expected lines, as the Middle East war’s impacts on the entire sector were all too obvious.” He pointed out that the “Middle East war’s disruptions and, inevitably, AI-related uncertainties in the IT/ITeS sector have pushed more buyers onto the fence.”Puri noted that the housing demand growth is now concentrated in premium housing, GCC-led employment hubs, and infrastructure-driven corridors.City-wise data analysis
- The housing sales in Delhi-NCR declined 6% to 13,365 units in April-June from 14,255 units in the year-ago period.
- In the MMR, the sales plummeted 8% to 28,710 units from 31,275 units.
- Pune saw a 15% decline to 13,090 units from 15,410 Units.
- In Chennai a 9% decline in sales, to 5,135 units from 5,660 units, was recorded.
However, the sales grew in the remaining three cities.The outliers
- In Bengaluru, the sales rose 1% to 15,285 units from 15,120 units.
- Hyderabad too witnessed a 2% growth in sales to 11,270 units from 11,040 units.
- Housing sales in Kolkata increased 10% to 3,860 units in April-June 2026 from 3,525 units in the year-ago period.
Despite the slowdown in home sales across most major cities, developers continued to add new inventory to the market. Anarock’s data showed that fresh housing launches rose 7% year-on-year to 1,06,000 units during the April-June quarter, up from 98,625 units a year earlier, indicating that builders remain confident about long-term demand even as buyers turn cautious amid global economic uncertainty.
