In Q1 2026, Chennai's residential market showcased remarkable growth, with home sales reaching 4,763 units, a 9% increase from 4,357 units in the same quarter last year. This surge makes Chennai the fastest-growing residential market among major Indian cities, as reported by Knight Frank India. New launches also saw a positive trend, rising 12% year-on-year to 5,112 units. Residential prices climbed 6%, reflecting robust demand, particularly in the mid and premium segments.

Joseph Thilak, National Director at Knight Frank India, noted that the market is witnessing a shift in buyer preferences, moving away from affordable housing towards mid and premium segments. The sub-₹50 lakh category experienced a significant 39% decline, while the ₹50 lakh–₹1 crore segment grew by 19%. The higher-end market, especially homes priced between ₹2–5 crore, saw a remarkable 52% increase in sales.

In contrast, housing sales across India's top eight cities fell by 4%, indicating a potential recalibration amid global uncertainties, including geopolitical tensions. Key markets like Mumbai and Delhi-NCR also reported declines, while Chennai, Bengaluru, and Hyderabad showed resilience in demand.