West Asia Conflict Tempers Housing Price Growth in Top Cities: Anarock

Housing price growth across India’s top seven cities remained subdued in the January–March quarter, rising just 2 per cent sequentially as geopolitical tensions in West Asia dampened buyer sentiment, according to real estate consultancy Anarock.

Data released by Anarock showed that the average residential prices across the seven major housing markets increased to ₹9,456 per square foot during the quarter, compared to ₹9,260 per square foot in the preceding October–December period.

The modest rise comes amid a slowdown in housing sales, which analysts attribute to cautious consumer behaviour driven by global uncertainties, particularly the ongoing West Asia conflict. Concerns over inflation, higher borrowing costs, and economic volatility have led many prospective buyers to defer purchase decisions.

On a year-on-year basis, however, housing prices recorded a stronger growth of 7 per cent, up from ₹8,868 per square foot in the January–March quarter of 2025, reflecting underlying demand resilience despite short-term headwinds.

Industry experts noted that while the real estate market continues to show stability, external geopolitical developments are increasingly influencing buyer sentiment and investment decisions. Any prolonged escalation in West Asia could further impact affordability through rising input costs and interest rate pressures.

Anarock said the near-term outlook for the housing sector would depend on macroeconomic stability, interest rate movements, and the resolution of global geopolitical tensions.