India’s residential real estate market continues to see firm buyer interest despite affordability concerns, economic volatility and changing financing conditions, according to the Colliers Homebuying Sentiment Survey 2026: Decoding India’s Evolving Buyer Preferences.
The survey, based on responses from around 1,800 prospective homebuyers across more than 30 established and emerging residential markets, indicates that nearly half of respondents are willing to purchase a home within the next two years. The findings point to continued demand, while also showing that buyers are becoming more selective about pricing, location, configuration and possession timelines.
According to the survey, 54% of respondents believe external macroeconomic volatility will have a relatively lower impact on Indian real estate. At the same time, affordability and pricing remain major concerns for around one-third of prospective buyers, followed by concerns related to job security and income visibility.
Affordability Remains a Key Consideration
The survey shows that 46% of respondents prefer properties priced between ₹50 lakh and ₹1.5 crore. Affordability emerged as the leading consideration for prospective homebuyers, followed by unit size and layout, social infrastructure and overall connectivity.
Around 75-80% of respondents identified unit size and layout, along with social infrastructure and connectivity, as important purchase considerations. The findings indicate a preference for homes that balance apartment size with access to employment centres, transport infrastructure and everyday amenities.
Within gated communities, security and safety systems remain a major priority. These are followed by green and open spaces and community and lifestyle-oriented amenities. Younger buyers also show stronger interest in fitness and wellness facilities. Among buyers below 30 years, the prioritisation of such amenities is nearly twice the overall average, according to the survey.
Self-Use Continues to Drive Housing Demand
The survey highlights the continued importance of end-user demand in India's housing market. Around 51% of respondents plan to purchase a property for self-use, while another 16% are looking at a second or vacation home.
The demand for second homes reflects growing interest in leisure- and lifestyle-oriented residential destinations. Developers are increasingly looking at opportunities that combine housing with wellness, recreation and access to leisure destinations.
Ready-to-Move Homes Preferred
Possession certainty is another important factor influencing purchase decisions. More than 60% of respondents prefer ready-to-move or near-completion properties over under-construction and newly launched projects.
This preference reflects buyers' focus on completion timelines and reduced execution risk. However, the survey also identifies differences across age groups. Around half of homebuyers below 30 years are comfortable taking construction-related risks, partly because early-stage projects can offer relatively lower entry prices. Among respondents above 30 years, only 36% expressed a willingness to take such risks.
Configuration preferences also remain concentrated around mid-sized homes. Around 62% of prospective buyers prefer 2 and 3 BHK apartments, although preferences vary across cities.
According to Colliers, larger and more spacious homes have stronger preference in markets such as Delhi-NCR, Bengaluru and Hyderabad, while Mumbai continues to see demand for compact and right-sized units.
Industry Expert Opinions
Yash Garg, Director, M3M Noida, said, "The sustained intent to purchase homes is a strong reflection of the depth of end-user demand in India’s residential market. As highlighted by Colliers, around 50% of prospective homebuyers are planning to purchase within the next two years, with more than half considering a home for self-use. This reinforces the fact that homeownership continues to be a key priority, while buyers are increasingly evaluating properties through the lens of long-term suitability, quality of life and future value. For developers, the opportunity lies in creating well-planned communities that bring together thoughtful layouts, quality construction, connectivity and lifestyle amenities. Going forward, consistent execution, transparency and a strong customer experience will be critical to sustaining buyer confidence and supporting the next phase of residential growth".
Santosh Agarwal, Executive Director & CFO, Alpha Corp Development Limited, said, "The residential market is witnessing a clear shift towards more deliberate and future-oriented homebuying decisions, with a significant share of prospective buyers planning to purchase within the next two years. Buyers are increasingly approaching homeownership with greater financial preparedness and a sharper understanding of their long-term requirements. Factors such as location, connectivity, quality of construction, amenities and potential for value appreciation are playing a greater role in purchase decisions. This positive sentiment is expected to support healthy and sustained residential demand across key urban markets."
The survey indicates that Indian homebuyers continue to demonstrate purchase intent, but their decision-making is increasingly shaped by affordability, connectivity, livability, product configuration and possession certainty. As infrastructure improves across major and emerging housing markets, these factors are expected to influence residential demand and development strategies.
