Synopsis- In the first half of 2025, homebuying trends in India’s major cities saw noteworthy shifts, with evolving buyer preferences – including new price movements, all of which have been widely reported on. Demand for small 1 BHK’s in the Western metros to the growing popularity of spacious 3 BHK’s across India shows that each home size indicates a different story of urban aspiration, affordability, and shifting lifestyles.
As India’s real estate market evolves, homebuyers are increasingly debating the ideal home size. This article explores the popularity of 1BHK, 2BHK, and 3BHK apartments across Indian cities in H1 2025.
3BHK Homes: New Center of Growth in Urban Cities
- Market share: According to figures, 3BHK Homes represented nearly 50% of the overall demand in top 13 cities(approx 50% market share) in India in Q1 2025.
- City specific leaders: When looking at demand across metropolitan cities, demand broke high with Hyderabad (68%), Gurugram (61%), Chennai (61%), Noida (60%), Delhi (58%).
- Emerging metro demand: 3 BHK’s demand also exceeded 50% in Bengaluru, Kolkata, and Ahmedabad as well as 45% in Greater Noida.
- What is the reason for their high demand?
- A lifestyle change as a result of the pandemic. Families are looking for bigger houses to accommodate working and studying from home, as well as for wellness.
- Changing aspirations, increased incomes, and smaller joint families.
- There have been a larger number of upscale and premium new launches than in recent years and this has boosted both sales and prices.
- Sales value: Almost half of the properties sold in the first half of 2025 had a price of over ₹1 crore, with more of the sales value attributable to 3 BHKs and larger homes in NCR, MMR, and Bengaluru.
The Ongoing Success of 2BHK Apartments
- Demand share: In early 2025, 2BHKs made up 35% of overall demand internationally and remained a large share of demand in some western and central metros.
- City level specifics: The market for 2BHKs had a preference greater than 40% in MMR, Pune, and Kolkata.
- Buyer profile: Higher income nuclear families, working couples, and people upgrading from a 1BHK.
- Affordability: 2BHKs are still priced below ₹1 crore in many micro-markets near metros or in tier 2 cities.
- So why is a 2 BHK a good idea?
- Space at an affordable price.
- Less maintenance at lower cost, with superior resale liquidity.
Also read: Top 7 Export Contributing States in India Driving Growth in 2025
1BHK – The MVP of Price Growth
- The fastest price appreciation in 2025 belonged to 1BHKs with an annual price increase of 34.4%, outperforming other segments.
- Where do 1BHKs shine?
- Western metros like Mumbai 20% of total demand and Thane 13% had the largest demand for 1BHKs as both purchase and rental options.
- Also popular with young professionals, singles, students, and senior citizens.
- What is fueling demand?
- High property rates, investment demand, and the lifestyle need for small and easy-to-rent homes.
- Better rental yields for 1BHKs were seen in particular in pricey markets.
Trends and Insights
- Premiumization: The focus of buyers has shifted toward larger, premium homes, fueled by higher incomes, end-user demand, and the desire for better amenities.
- Affordability under stress: In the majority of metros, high ratings and reduced supply have pushed smaller homes to outlying areas or Tier-2 cities.
- Rental market: 3BHK and 2BHK property sales and demand are leading the sale of homes but the 1BHKs are making a comeback due to rental yields in the Mumbai and Pune and Thane markets.
- Families Aspirational living: In large part in Delhi, NCR and South India, buyers focused on extra space for multi-generational living and work-from-home living needs.
Conclusion
The 3BHK apartment saw a presence of sales and demand in the home sales and markets of multiple Indian cities in H1 2025, especially in Delhi NCR, Bengaluru, Hyderabad, Chennai, and more. Demand continued to see strong sales across all categories focusing on large living. The 2BHK remained particularly strong in the West of India while the 1BHK category saw demand and rapid price lift in markets where affordability trumped space. Buyers are seeking housing where they find a balance of investment value, value of a lifestyle, and investment returns that will support the asset over the long term, which has now helped to make urban housing in India more dynamic than ever.
Written By Rachna Rajput
