3 BHKs dominate demand but 1 BHKs lead price growth in Q1 2025

3 BHKs dominate demand; 1 BHKs lead price rise in Q1

Half of all home demand in Q1 CY2025 across 13 cities was for 3 BHK units, while 1 BHKs saw the sharpest price rise—up 34.4 percent year-on-year, reflecting strong appreciation in the value for compact housing segment.

According to data from Magicbricks -- an online property search platform -- Hyderabad, Gurugram, Noida, and Delhi recorded the strongest preference for 3 BHK configurations in Q1 CY 2025. 2 BHK units followed with a 35 percent share and the compact housing segment also saw growth marking 6 percent of the total demand.

India's recorded residential sales of slightly above 88,000 units in the first quarter of 2025 (January-March).

City wise analysis of Magicbricks data indicates that the demand for 3 BHK homes is particularly high in Hyderabad (68 percent of total demand in the city), Gurugram (61 percent), Chennai (61 percent), Noida (60 percent), New Delhi (58 percent).

Cities like Bengaluru (54 percent), Kolkata (53 percent), Ahmedabad (52 percent) and Greater Noida (45 percent) also reflected adequate demand for 3 BHK homes while metros like Mumbai (20 percent) and Thane (13 percent) showed least interest in 3 BHK units.

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Conversely, in cities such as Thane (84 percent), Mumbai (77 percent), Navi Mumbai (62 percent) and Pune (56 percent), customer searches were focused on homes with smaller configurations of 1 and 2 BHK.

Prasun Kumar, Chief Marketing Officer, Magicbricks said that buyer preferences are typically shaped by lifestyle aspirations, urban density, and the balance between space and cost across regions.

“So, you’ll often see 3BHKs being more popular in northern and southern markets because families there tend to be larger, and property prices are relatively more affordable—so buyers can aim for bigger homes. Cities like Bengaluru, Hyderabad, and Delhi NCR also offer more space and value," he said.

Elaborating further on the MMR market, he commented, "In contrast, Mumbai and Thane face acute space constraints and high property rates, with demand concentrated in areas close to employment and city hubs. Hence, 1 and 2BHK configurations are more preferred in these markets."

Prices rise for smaller units

The data also highlighted that the average price of smaller units has gained substantial appreciation in the past one year.

The average price of a 2BHK home across 13 metros increased 34.4 percent with cities such as Gurugram (58.8 percent increase) and Greater Noida (75 percent) experiencing a huge surge.

Even in cities such as Bengaluru (30.2 percent), Hyderabad (24.5 percent) and Mumbai (20 percent) the prices of 1BHK homes continued to increase.

The average residential per square foot prices in cities such as Mumbai, Delhi, Gurugram, Thane, Noida, Bengaluru, Pune traded at Rs 30,256, Rs 19,118, Rs 15,607, Rs 13,466, Rs 12, 773, Rs 11,529, and Rs 10179 respectively in Q1 2025.