Strong Housing Demand Pushes Developers to Accelerate H2 FY27 Launches: Jefferies

What happened

On 2 November 2026, a news agency report carried the findings of a Jefferies brokerage report. Jefferies expects strong housing demand and healthy sales in the September 2026 quarter to encourage real estate developers to accelerate project launches in the second half of FY27. Major companies are preparing larger project pipelines across key cities.

The forecast rests on sales data for India’s top seven residential markets. The report’s figures are as cited in news coverage of it. They are Jefferies’ estimates, not confirmed results.

The numbers: value growing faster than volume

Jefferies estimates that residential sales value across the top seven cities grew about 17-20% year-on-year in July-September 2026. Sales by area rose more slowly, about 6-8%.

• Blended price realisation rose about 10% year-on-year in the quarter.
• The number of apartments sold stayed largely flat over the past three months.
• New launches stayed roughly flat by area year-on-year in the September quarter. Jefferies links this partly to a festive season that was delayed into September.
• Overall residential inventory is about 18 months of sales, based on the last 12 months, in line with the five-year average.

Jefferies attributes the gap between value and volume growth to higher prices and better realisation per unit. A different news version of the same report gives lower year-to-date figures for the top seven cities: about 6% growth in sales by area and about 12% in sales value. That version covers a different period, so the two sets of figures should not be compared directly.

Regional picture

According to the report, the National Capital Region (NCR) and the Mumbai Metropolitan Region (MMR) each recorded volume growth above 10% in the September quarter. Bengaluru stayed roughly flat.

Company-level estimates

The report gives estimates for several listed developers. These are forecasts, and the figures from different write-ups of the research differ in places.

• Godrej Properties: Jefferies is expected to double its launch pipeline in the second half. One news version of the report estimates December-quarter pre-sales above Rs 120 billion, about 50% higher year-on-year. A separate brokerage summary of the same coverage puts the estimate at Rs 70-75 billion for the quarter.
• Lodha: The news version of the report says Lodha plans launches worth Rs 191 billion in the second half, against Rs 41 billion in the first half. Lodha’s own earnings-call remarks describe planned second-half new launches of just under Rs 20,000 crore. The two figures are not the same measure and should be read separately.
• Oberoi Realty: A brokerage summary of the coverage says Oberoi Realty could record its largest-ever quarter, with pre-sales of about Rs 9,000 crore. The Gurgaon Three Sixty North project is expected to contribute about Rs 7,900 crore of this.
• DLF: A brokerage summary expects DLF sales of Rs 500-1,000 crore, with limited launches and low inventory restricting near-term volumes. DLF is progressing with its Mumbai Phase-2 project.
• Prestige Estates: Expected to have a strong launch pipeline in NCR and Mumbai in the December quarter and early in the fourth quarter.

The brokerage summary names DLF, Godrej Properties and Lodha as its preferred names. It states that this is the brokerage’s view and not an investment recommendation.

Developers’ own outlook

Godrej Properties’ CEO, Gaurav Pandey, said on 23-24 October 2026 that the company has a cumulative launch pipeline of more than Rs 32,000 crore for the second half of FY27. He said the second half is expected to be the company’s best-ever period for both launches and sales.

In the September quarter, Godrej Properties reported a booking value of Rs 8,008 crore from 3,658 units, covering 6.2 million sq ft of sold area. Its net profit fell 62% to Rs 154 crore from Rs 405 crore a year earlier, mainly because of higher costs. In the first half, it had launched one-third of its expected annual pipeline but delivered 43% of its annual bookings guidance.

Lodha Developers reported a profit after tax of Rs 1,013 crore for July-September 2026, up 28% year-on-year. Pre-sales were Rs 5,037 crore, up 10%. Its FY27 pre-sales guidance is Rs 24,000 crore. Lodha said it delivered Rs 9,600 crore of sales in the first half with only Rs 400 crore of GDV from new launches.

What it means for buyers, investors and the market

• Buyers: The report points to rising prices. Sales value is growing faster than volume, which Jefferies links to higher prices and better realisation per unit.
• Market: Jefferies says healthy demand, lower inventory and a strong launch pipeline could support the residential sector in the second half of FY27.
• Investors: A brokerage summary of the coverage says listed developers’ valuations on a price-to-NAV basis are well below their long-term averages.

These are forecasts and management outlooks, not realised results. Launch timing also depends on approvals. Godrej Properties has said pollution-control restrictions in NCR can affect construction activity.

What comes next

• Jefferies expects launches to step up from the December quarter (October-December 2026, which is Q3 FY27), as strong sales of existing projects have reduced inventory.
• Godrej Properties said it expects its Q3 approvals to be largely secured already. For Q4, it is targeting 80% of approvals by late November to mid-December 2026, with the rest in early to mid-January 2027.
• Lodha expects second-half pre-sales of Rs 13,500-15,500 crore, including a data-centre land transaction of Rs 1,500 crore in Q4, and full-year pre-sales of about Rs 24,000 crore.
• The next data point is the Q3 FY27 results of listed developers, covering October-December 2026.

Background: earlier forecast

An earlier Jefferies forecast, made about 208 days before this report, expected India’s real estate pre-sales growth to slow to 6% in FY27, from 21% in FY26. The more recent second-half outlook supersedes it.