Homebuyers remain bullish on real estate despite rising prices; premium homes, new launches gain traction: Anarock survey

Homebuyers are becoming more selective rather than stepping away from the residential market, with larger homes, premium housing, developer credibility and future resale and rental potential emerging as key priorities in H1 2026.

India’s residential real estate market remained resilient in the first half of 2026 despite geopolitical uncertainty and rising housing prices, with prospective buyers continuing to show a strong preference for homeownership while becoming more discerning about affordability, quality and long-term value, according to the Anarock Real Estate Homebuyer Survey H1 2026.

The survey, conducted between January and June 2026, covered nearly 8,320 respondents across 14 cities, with an equal 50:50 male-female representation.


The findings point to an interesting shift in the Indian housing market: rising prices are reshaping buying decisions rather than eliminating demand. Buyers are increasingly looking for larger and better-quality homes, even as affordability concerns intensify.

Real estate remains the preferred investment asset

Real estate continued to dominate the investment preferences of respondents, with 60% identifying it as their preferred asset class, up two percentage points from the previous survey.

The stock market followed at 20%, while gold accounted for 11% and fixed deposits 9%. The survey noted that market volatility and economic uncertainty could be encouraging some investors to diversify towards gold and fixed-income instruments.

Importantly, the preference for other financial assets does not necessarily translate into weaker future housing demand. Among the 40% of respondents who preferred an asset class other than real estate, 45% said they planned to use their investment gains to buy a home in the future.

Starting a business was the goal for 25%, while 17% planned to build an emergency fund and 11% focused on retirement. The report also highlights a generational divide, with younger cohorts showing a stronger inclination towards home purchases and entrepreneurship.

End-users continue to drive housing demand

The residential market remains firmly end-user driven, with 68% of prospective buyers saying they were purchasing primarily for self-use, up three percentage points from H1 2025, while investment-driven demand stood at 32%.

The report attributes the continued dominance of end-users to the perceived security, stability and long-term value of homeownership. At the same time, higher property prices have made investors more selective, with greater focus on returns, location fundamentals and long-term value creation.

The investment characteristics of residential property are also becoming increasingly important even for end-users. 67% of respondents considered potential resale value important or very important, while rental income potential was considered important or very important by 77% of respondents.

This suggests that buyers are increasingly viewing homes not just as places to live, but also as long-term financial assets with potential for capital appreciation, liquidity and recurring income.

Rs 90 lakh-1.5 crore emerges as the preferred budget

The survey points to continued premiumisation of housing demand.

Homes priced between Rs 90 lakh and Rs 1.5 crore emerged as the most preferred segment, chosen by 34% of respondents. Another 21% preferred homes in the Rs 45-90 lakh range.

At the other end of the spectrum, the share of buyers preferring homes priced below Rs 45 lakh has fallen sharply—from 28% in H1 2022 to 18% in H1 2026. The report said the trend is also visible on the supply side, with affordable housing accounting for a smaller share of new launches across the top seven cities.

The shift indicates that despite affordability concerns, prospective buyers continue to aspire towards higher-value homes with better space and amenities.

3BHKs remain the most sought-after configuration

Larger homes continue to dominate buyer preferences.

According to the survey, 48% of respondents preferred 3BHK homes, followed by 38% opting for 2BHKs. Around 9% preferred 1BHKs, while 5% opted for 4BHK and larger homes.

Interestingly, the preference for 4BHK and larger homes has increased from around 3% in H1 2024 to nearly 5% in H1 2026, despite the rise in housing prices.

There are also significant differences across cities. The preference for 3BHKs exceeds 50% in Ahmedabad, Hyderabad, Chennai and Delhi-NCR, while 2BHKs remain more popular in Kolkata, Mumbai-MMR and Pune. Bengaluru recorded the highest preference for 4BHK and larger homes at 10%.

New launches gain ground over ready homes

Homebuyers are also increasingly willing to enter the market at the new-launch stage.

The preference for new-launch properties reached 34% in H1 2026, the highest level in the recent survey period, while preference for ready-to-move-in homes fell to 18%. The ratio of ready homes to new launches consequently shifted to 18:34 in H1 2026, from 30:25 in H1 2022.

However, buyers are not necessarily choosing new projects simply because they are launched early. Developer reputation and project location emerged as the leading factors, cited by 34% of respondents, followed by infrastructure development at 22%.

The report also shows that buyers are placing increasing importance on execution. Customer reviews and reputation were cited by 25% of respondents, followed by timely delivery at 23% and construction quality at 20%.

In other words, developer track record appears to be becoming more important than brand name alone.

Rising prices are changing behaviour, not killing demand

Higher home prices remain a major concern for prospective buyers. 65% of respondents were at least moderately concerned about the recent rise in housing prices, with 35% describing themselves as very or extremely concerned.

Meanwhile, 40% believe the price increase is a long-term trend, while another 39% remain unsure about whether prices will correct in the near term.

Despite these concerns, housing demand remains relatively resilient. 44% of respondents said they would proceed with their purchase as planned, while 38% may delay their purchase slightly. Only 18% indicated that they may postpone indefinitely or cancel their plans.

For buyers delaying or cancelling purchases, affordability was the biggest constraint, cited by 44%, followed by reduced property options within their budget at 32%.

Rather than exiting the market altogether, buyers are adapting. 31% are considering renting, while 20% are looking at peripheral locations, and 43% said their preferences had not changed.

What the H1 2026 survey says about the Indian homebuyer

The broader message from the Anarock survey is that India’s homebuyer has become more aspirational and more cautious at the same time.

Buyers continue to seek larger homes and premium locations, while simultaneously paying closer attention to price, developer credibility, construction quality, delivery track record and future value.

The report identifies seven key emerging trends: a stronger preference for new launches, continued premiumisation, dominance of end-users, growing demand for larger homes, price increases reshaping rather than reducing demand, greater importance of developer credibility, and rising consideration of resale and rental potential.

With housing prices continuing to rise, the H1 2026 findings suggest that the next phase of India's residential market may be characterised less by a broad-based affordability-driven slowdown and more by greater differentiation between projects, locations and developers.

For buyers, the decision is increasingly not simply about whether to purchase a home, but what to buy, where to buy and what long-term value the property can deliver.


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