3 BHK Homes Dominate Listings as Buyers Seek Affordability

Nearly 46% of homes currently on sale in India are 3 BHK units, reflecting developers' focus on larger homes, while affordability continues to shape buyer demand, with properties priced below ₹75 lakh remaining the preferred choice across several key cities.

India's residential real estate market is witnessing a divergence between housing supply and buyer preferences, with developers increasingly launching larger homes while affordability continues to drive purchasing decisions in several cities. According to the latest Magicbricks PropIndex for April-June 2026, 46% of the active housing supply comprises 3 BHK homes, reflecting growing confidence among developers in demand for spacious family residences.

The report attributes the rise in larger homes to evolving lifestyle preferences, including hybrid work arrangements, multi-generational living, and the need for additional living space. However, buyer demand remains centred on affordability, with 2 BHK homes accounting for 42% of demand, followed by 3 BHK units at 37%. Mid-sized homes ranging from 750 to 2,000 square feet continue to dominate the market, representing nearly 70% of overall housing demand.

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Affordability remains a key factor for home buyers in cities such as Kolkata, Ahmedabad, Pune, and Greater Noida, where homes priced below ₹75 lakh continue to attract the highest demand. At the same time, premium housing is gaining traction in Bengaluru, Hyderabad, Gurugram, and Noida, with increasing interest in properties priced between ₹1.5 crore and ₹3 crore, supported by rising household incomes and expanding employment opportunities.

Luxury housing demand continues to be concentrated in Mumbai, Gurugram, and New Delhi, reinforcing their position as India's leading premium residential markets. The report indicates that developers are increasingly responding to changing consumer aspirations by expanding the supply of larger and premium homes, even as affordability remains the deciding factor for many buyers.

On a national level, residential demand declined by around 1% quarter-on-quarter during the April-June period, while housing supply increased by 1.2% and average property prices edged up by about 1%. Among major cities, Kolkata recorded the strongest growth in buyer demand, followed by Noida, Greater Noida, and Pune, whereas demand moderated in Hyderabad, Chennai, and Bengaluru despite continued price appreciation.

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The findings suggest that India's housing market continues to evolve with distinct regional trends. While developers are expanding the supply of larger homes to meet changing lifestyle needs, affordability remains the primary driver of demand across many cities, creating a balanced market where both premium and value-driven housing segments continue to grow.