Chennai’s residential property market recorded a 2% year-on-year rise in housing sales during the first nine months of calendar year 2026, with 13,871 units sold, according to Knight Frank India. The sales figure was the highest for the January-September period since 2018, compared with 13,552 units during the corresponding period last year.
Developers launched 14,639 housing units during the period, down 7% from 15,793 units a year earlier, indicating a measured approach to new supply. Quarterly sales remained steady, with 4,763 units sold in the first quarter, 4,435 in the second and 4,673 in the third quarter.
Demand continued to shift towards higher-value properties. Sales in the Rs 2-5 crore category surged 54% year-on-year to 1,709 units, while the Rs 1-2 crore segment rose 17% to 3,808 units. Sales of homes priced above Rs 1 crore increased 26%, raising their share of total sales to 42% from 34% a year earlier.
Meanwhile, sales of homes below Rs 50 lakh declined 46%, while the Rs 50 lakh-Rs 1 crore segment grew 7% and remained the largest category, with 6,506 units sold.
Chennai’s weighted average residential price rose 5.9% year-on-year to Rs 7,715 per sq ft in the third quarter. The city’s quarters-to-sell stood at 4.4, the second-lowest among India’s eight major markets, indicating steady absorption of available inventory.
Joseph Thilak, Executive Director - Occupier Strategy & Solutions, Head of Data Center Business (India), Knight Frank India, said, “Chennai has recorded its highest sales for the first nine months of any year since 2018, with demand moving steadily towards larger homes. Sales of homes priced above INR 1 crore have grown 26%, and the INR 2–5 crore segment by more than half. Developers have kept new supply measured, which has made Chennai one of the most balanced housing markets in the country, with unsold homes taking about 4.4 quarters to clear. A stable employment base, supported by the city's GCCs and manufacturing sector, should continue to underpin demand through the festive season.”