Jefferies says the residential property market is regaining momentum in November after a brief festive-season slowdown in October, with early indicators pointing to a renewed uptick in new launches across major cities. The brokerage noted that listed developers have delivered a strong start to FY26 and remain on track to achieve nearly 25% pre-sales growth for the full year, supported by robust demand, healthy affordability ratios and a deepening buyer base despite elevated pricing across key micro-markets.
According to Jefferies, the recovery in launch activity is particularly encouraging given the exceptionally strong pipeline executed by large developers in recent quarters. The firm said the momentum is likely to accelerate meaningfully in the second half of FY26, with Godrej Properties and Lodha expected to lead the next wave of high-value launches and sustained sales traction. Both companies remain Jefferies’ top picks in the sector, with the brokerage citing their strong brand equity, execution capability, diversified land banks and deep visibility on cash flows.
Jefferies also highlighted that the Nifty Realty Index has corrected nearly 20% from its 2024 peak, bringing valuations back to more attractive levels relative to the sector’s medium-term growth prospects. The brokerage believes that the current consolidation phase offers favourable risk-reward for investors, especially as larger listed players continue to gain market share from weaker regional developers.
Disclaimer: The views and recommendations above are those of Jefferies. Business Upturn does not endorse them. Please consult a financial advisor before making investment decisions.
