46% of homes on sale are 3 BHKs; buyers chase affordability in key cities | Personal Finance

India’s housing market is increasingly becoming a tale of two segments.

 

While developers are betting big on larger, premium homes, buyers in many cities continue to favour affordable housing.

 

Larger (3 BHK) homes account for 46% of the active housing supply, indicating developers’ continued confidence in the demand for larger family homes, according to the latest Magicbricks PropIndex (April–June 2026). The report highlights a market where developers are responding to changing lifestyle aspirations, while demand continues to be shaped by affordability and regional economic growth.

 

 As homebuyers increasingly seek more space for hybrid work, multi-generational living and improved quality of life, larger configurations continue to remain the preferred choice across several key markets.

 
 

At the same time, affordability continues to drive housing demand in several emerging markets. Cities such as Kolkata, Ahmedabad, Pune and Greater Noida continue to witness the highest preference for homes priced below Rs 75 lakh, highlighting the sustained importance of value-driven housing in these locations.

 

The report also points to the growing spread of premium housing beyond traditional luxury markets. Demand for homes priced between Rs 1.5 crore and Rs 3 crore is strengthening across Bengaluru, Hyderabad, Gurugram and Noida, reflecting rising household incomes, evolving lifestyle aspirations and the expanding influence of India’s major business and technology hubs.

 

Luxury housing, however, remains concentrated in Mumbai, Gurugram and New Delhi, reaffirming these cities’ position as the country’s primary markets for ultra-premium residential demand.

 

Overall, the findings suggest that while affordable housing continues to anchor demand across several cities, India’s residential market is witnessing a gradual shift towards larger homes and premium living, resulting in increasingly distinct regional housing trends.

 

The report shows 46% of available inventory comprises 3 BHK units, compared with 32% for 2 BHKs, indicating a clear supply tilt towards larger configurations. The shift reflects changing buyer preferences after the pandemic, with households seeking additional space for home offices, children’s study areas and multi-generational living.

 

According to the PropIndex, 2 BHK homes account for 42% of buyer demand, followed by 3 BHKs at 37%, suggesting that while buyers aspire to upgrade, affordability continues to influence purchase decisions. Mid-sized homes between 750 and 2,000 sq ft account for nearly 70% of housing demand.

 

Magicbricks says buyers in Kolkata, Ahmedabad, Pune and Greater Noida continue to show the strongest preference for homes priced below ₹75 lakh. These cities combine relatively affordable pricing with expanding infrastructure and employment opportunities, making them attractive for first-time buyers and end users.

 

At the all-India level, residential demand declined by around 1% quarter-on-quarter during April-June 2026, while housing supply increased by 1.2% and average prices edged up about 1%, suggesting that developers continue to launch projects despite buyers becoming more selective.

 

Cities increasingly moving in different directions

 

The report also highlights growing divergence across markets.

 

Among the top-performing cities during the quarter, Kolkata recorded a 7.5% sequential increase in buyer demand, followed by Noida (5.5%), Greater Noida (4.1%) and Pune (2.1%). In contrast, buyer enquiries moderated in Hyderabad, Chennai and Bengaluru, even as property prices continued to rise in several of these cities.