Avoid builders with very large commitments.
Housing sales across the top seven cities fell 6 per cent year-on-year, from 96,285 units in the second quarter (Q2) of 2025 (CY25) to 90,715 units in Q2CY26, according to data from real estate consultancy ANAROCK.
Pune, the Mumbai Metropolitan Region (MMR), the National Capital Region (NCR) and Chennai recorded year-on-year declines.
The fall ranged from 6 per cent to 15 per cent.
Key Points
- Developers continue holding prices steady, although buyers may secure discounts through negotiations and flexible payment structures.
- Markets with higher inventory, including Bengaluru and MMR, currently offer greater scope for bargaining on overall deal terms.
- Experts advise negotiating beyond base prices by seeking concessions on parking, floor-rise and other project-related charges.
- Waiting for a broad price correction may prove costly due to rising rents, limited inventory and future infrastructure-driven appreciation.
Why sales slowed
Geopolitical uncertainty weighed on buyer sentiment.
"The conflict disrupted supply chains and weakened buyer sentiment considerably," says Santhosh Kumar, vice chairman, ANAROCK Group.
Worries related to artificial intelligence (AI) have also played a part.
"Job-market concerns in the information technology and IT-enabled services (ITeS) sectors have also affected buyer sentiment," says Ravi Shankar Singh, managing director, residential transaction services, Colliers India.
Constant price increases over the past few years have hurt affordability.
Strong sales last year also created a high base.
Developers holding the price line
Average residential prices across the top seven cities rose 7 per cent year-on-year in Q2 2026, according to ANAROCK.
"The market is seeing some plateauing, but no meaningful correction," says Kumar.
Large listed developers can absorb a sales slowdown without cutting prices.
Scope for negotiating
Large listed developers face reputational risks if they announce price cuts.
"Negotiations can, however, lead to discounts of 5 to 10 per cent in some cases," says Singh.
Discounts are more likely in ready-to-move homes.
"Buyers could also get a discount in projects with sizeable unsold stock," says Kumar.
The scope varies by market.
"Cities with high inventory build-up, like Bengaluru and Mumbai Metropolitan Region, offer more room for bargaining," says Kumar.
Buyers with cash for outright purchase, or those with pre-approved home loans, can negotiate harder.
Scrutinise payment plans
Developers may offer deferred payment plans, like 20:80 and 10:90, instead of direct discounts.
Some now offer 1 per cent monthly payment plans, allowing buyers to avoid a loan during the construction period and take it at possession.
"This can reduce the eventual home-loan requirement from about 80 per cent to about 40-45 per cent," says Pankaj Kapoor, founder, Liases Foras.
"Such schemes should not come loaded with a higher base price," says Kumar.
Negotiation tips
Buyers should bargain not just on the base price, but also on floor-rise charges, preferential location charges, parking costs and amenity fees.
Time the visit well.
"Visit projects around quarter-end, when sales teams are under pressure to close deals," says Kumar.
Quotes from two or three competing projects can strengthen a buyer's case.
When waiting can be counterproductive
Prices have not corrected yet.
"There is no guarantee that a widespread price correction will occur," says Anupam Rastogi, co-founder and chief business officer, Square Yards.
At the all-India level, inventory is at a comfortable 20 months.
"An overhang of 24 months is considered optimum. Anything below that is viewed as healthy," says Kapoor.
Rental yields support buying.
"Strong rental yields indicate that appreciation is more likely," says Kapoor.
Waiting has costs.
"Renting involves annual rent escalations of 5-8 per cent, which can eliminate the perceived savings from delaying homeownership," says Kumar.
New launches are moving to peripheral locations.
"Waiting may also mean missing preferred inventory, future price appreciation, and infrastructure-led value creation," says Singh.
Waiting can help if a buyer is evaluating smaller developers under financial stress, or stressed micro-markets.
"Waiting also gives buyers more time to strengthen their financial position," says Rastogi.
Run these checks
Avoid builders with very large commitments.
"They could default on deliveries or delay them," says Kapoor.
Rental yield should preferably exceed 3-3.5 per cent.
"Reputable developers, project quality, and long-term liveability should be the buyer's primary focus," says Rastogi.
Disclaimer: This article is meant for information purposes only. This article and information do not constitute a distribution, an endorsement, an investment advice, an offer to buy or sell or the solicitation of an offer to buy or sell any securities/schemes or any other financial products/investment products mentioned in this article to influence the opinion or behaviour of the investors/recipients.
Any use of the information/any investment and investment related decisions of the investors/recipients are at their sole discretion and risk. Any advice herein is made on a general basis and does not take into account the specific investment objectives of the specific person or group of persons. Opinions expressed herein are subject to change without notice.
Feature Presentation: Ashish Narsale/Rediff
