Nifty Realty falls 1.22% as developers fear missing FY26 sales guidance

Demand slowdown, buyers getting priced out of affordable housing, reflecting in FY26 numbers

Shares of real estate companies such as DLF, Signature Global, Anant Raj, and others declined on the National Stock Exchange (NSE) on Monday, with the Nifty Realty index slipping by 1.22 per cent to 863.35 points.

 

Among the ten constituents of the index, seven ended the day’s trade in red. Signature Global was the top laggard of the pack, falling by 6.46 per cent to ₹942.50 per share. Other losers included Prestige (down 4.03 per cent), Godrej Properties (down 3.07 per cent), DLF (down 1.07 per cent), and Oberoi Realty (down 1.59 per cent).

 

The drop comes after Delhi NCR-based Signature Global on Sunday said that it will not be able to meet its FY26 pre-sales guidance. The developer reported a 27 per cent year-on-year (Y-o-Y) decline in its sales bookings to ₹2,020 crore for the October to December quarter (Q3FY26), due to lower housing sales and market softness during the festive season. Its year-to-date (YTD) sales were recorded at ₹6,680 crore for the first nine months of FY26.

 

“Admittedly, we will not be able to meet our pre-sales guidance of ₹12,500 crore, which looked comfortable a few months back. However, we will attempt to maintain sales at the same levels as last year. Launches continue to remain on track,” Signature Global stated in its regulatory filing.

 

Similarly, Mumbai-based Kalpataru reported a 14 per cent Y-o-Y decline in its pre-sales for Q3FY26 to ₹870 crore, compared to ₹1,008 crore recorded a year earlier.

 

Commenting on the trend, Mohit Mittal, CEO for realty services company MORES said that the current softness in select real estate markets is better seen as a phase of recalibration rather than a demand slowdown. “After several years of rapid price appreciation and strong investor-led activity, buyers have become more value-conscious and are prioritising affordability, location quality, and the credibility of the developer,” he added.

 

He further said that this has led to a natural moderation in sales momentum across certain segments and geographies. “In such a cycle, some short-term volatility in bookings and stock performance is inevitable,” Mittal said.

 

Housing sales in seven major cities in 2025 declined 14 per cent from the previous year, hardening property prices, layoffs in the information technology (IT) sector, geopolitical tensions among other uncertainties slowed down the residential property market’s growth momentum in 2025, according to real estate consultancy Anarock. About 395,625 housing units worth more than ₹6 trillion were sold in 2025, compared to  459,645 units valued at more than ₹5.68 trillion in 2024.

 

The slump was seen sharpest in the October to December 2025 period, when sales in India's top nine cities fell 16 per cent  Y-o-Y to 98,019 units, the lowest quarterly sales figure recorded since Q32021, according to PropEquity. Housing supply was also affected, with new supplies seeing a 10 per cent Y-o-Y  drop from 98,664 units in Q42024 to 88,427 units in the quarter.

 

Despite demand for affordable housing remaining constant, new supply priced below ₹1 crore has contracted across all metros, according to a report by NoBroker, which added that buyers in this segment were being priced out and being pushed into mid-end and high-end housing segments.