Demand declined 6% q-o-q to approximately 17,000 units

• During Q2 2026, housing sales showed a marginal decline of 6% q-o-q, driven by escalating property values. At the same time, developers’ shift towards premium segments crowded out mid-segment buyers, who were also affected by volatility in the IT sector.
• Despite a temporary sales slowdown, Q2 project launches from established developers generated significant buyer interest, capturing 25–30% of quarterly sales and demonstrating sustained confidence in new launches amid market headwinds.

Bengaluru’s residential launches down 20% q-o-q

• Residential launches in Bengaluru decreased in Q2 2026 as developers adopted a cautious stance following high launch volumes in previous quarters, while also focusing on the premium segment.
• The new supply was primarily concentrated along Bellary Road, followed by the Hosur Road and Whitefield submarkets. Notable Q2 2026 launches included Godrej Vanantara, One Sobha World, Adarsh Parkland Phase 2 and Nambiar District Phase 3.

Overall property prices rose 3.1% while rents rose 2.5% q-o-q in Q2 2026

• The surge in average property prices was driven by GCC (Global Capability Centre) employment, high demand for larger homes, a concentration of premium launches and rising construction costs.
• Bengaluru rentals rose 2.5% quarter-over-quarter in Q2 2026, driven by increased demand from tech professionals, which outpaced housing supply and elevated rental prices.

Outlook: The city’s supply-demand dynamics to maintain healthy momentum

• The Hebbal-Devanahalli corridor is the primary hub for new Grade-A office and residential developments, capturing a major share of the market pipeline. As central areas reach capacity, residential growth is shifting to Whitefield, Sarjapur Road and Yelahanka.
• The Bengaluru residential market anticipates strong demand and continued price growth, driven by infrastructure projects such as the Namma Metro Blue, Yellow and Pink lines. Ongoing IT/GCC expansion maintains steady demand, with the rental market showing strong growth.