New Delhi, June 25 -- Unsold housing inventory in India increased to around 18 months in the first quarter of CY26 as residential supply continued to outpace demand, according to a report by Anand Rathi.

Unsold inventory is measured in terms of "months of sales", indicating the time required to sell the available stock at the current sales pace.

The report said residential project launches remained high due to easy funding availability, capital-light land deals and optimism from the previous growth cycle. As a result, unsold inventory rose from nearly 14 months in CY24 to around 18 months in Q1CY26.

At the same time, housing sales moderated from a peak of about 4.8 lakh units in CY23 to nearly 4 lakh units in CY25, reflecting a negativ...