Home prices across NCR rose 193% between 2015 and 2025, which is the sharpest increase among the eight major metropolitan markets covered in a new ASSOCHAM-Knight Frank Research Report. But the price rise has not been matched by a similar increase in housing activity, with residential sales volumes growing just 7% and new launches declining 20% over the same period.
The numbers point to a housing market that is becoming more concentrated at the higher end. Homes priced above Rs. 1 crore accounted for 84% of NCR's residential sales in the first half of 2026, compared with 18% in 2018. The shift suggests that the region's residential market is seeing stronger growth in property values than in the overall number of homes being sold or launched.
NCR home prices surge while sales and new launches remain subdued
The gap between prices and housing volumes is one of the key findings of the report, titled “Building Viksit Bharat: Real Estate as a Catalyst for Growth”. While home prices increased 193% over the decade, the actual volume of homes sold rose only 7%. New residential launches, meanwhile, fell 20%.
| Metric | Time Period | Change | What It Shows |
| Home prices | 2015–2025 | +193% | Sharpest increase among the eight markets |
| Residential sales volume | 2015–2025 | +7% | Sales growth was modest compared with price growth |
| New residential launches | 2015–2025 | -20% | New supply declined over the decade |
The combination indicates that the growth in the region's residential market has been increasingly concentrated in higher-value transactions. The pattern points to a market where a larger share of residential activity is concentrated in higher-value transactions rather than being spread evenly across price segments.
Homes above Rs. 1 crore now dominate NCR sales
The sharpest evidence of this shift comes from the changing composition of residential sales. Homes priced above Rs. 1 crore made up only 18% of NCR's housing sales in 2018. By the first half of 2026, their share had climbed to 84%.
The rise is not simply about higher prices for existing homes; it also reflects a change in the type and value of properties accounting for a larger share of transactions, with residential investment becoming increasingly concentrated across key NCR corridors.
The trend is particularly visible in parts of Gurugram, which became one of NCR’s major premium residential and commercial markets.
Connectivity strengthens select premium micro-markets
The report links the changing housing pattern partly to improving connectivity across NCR's polycentric geography. Better connectivity has strengthened selected premium micro-markets, rather than producing an equal expansion in housing activity across the region.
This is important because NCR's housing market is spread across several established employment and commercial centres. As transport links improve, locations with existing employment opportunities, commercial activity and social infrastructure can become more attractive to homebuyers and developers.
The impact is therefore not uniform across NCR. Markets that combine connectivity with strong employment and commercial ecosystems are better positioned to support higher-value housing demand. This has helped reinforce the concentration of residential activity in established premium corridors.
What the shift means for NCR's housing market
The changing balance between prices, sales and new supply has implications for both developers and homebuyers. For developers, the strong rise in property values and the growing share of high-ticket transactions point to the increasing importance of the premium segment in NCR's residential market. At the same time, the 20% decline in new launches over the decade suggests that supply has not expanded at the same pace.
For homebuyers, however, the shift towards higher-value housing could make entry into NCR's residential market more difficult, particularly for those looking for lower- and mid-priced homes. Knight Frank's separate affordability assessment for H1 2026 also found that NCR remained above its 50% affordability threshold, with the region's affordability ratio at 67%.
The broader picture is therefore not simply one of rapid price growth. NCR's residential market is becoming increasingly driven by higher-value homes and selected premium locations, while overall sales growth and new supply remain comparatively limited. That divergence could remain an important feature of the region's housing market as developers and buyers respond to changing demand and affordability.
