The luxury housing market in India is witnessing a remarkable surge, driven by a growing preference for exclusivity, enhanced lifestyles, and premium living spaces. Despite global economic uncertainties, the demand for high-end properties in India has shown resilience, underscoring the confidence of affluent buyers in the long-term value of premium real estate.
A Market on the Rise
Recent data from CREDAI-MCHI reveals an 18% increase in total sales value across India’s top seven property markets, amounting to ₹279,309 crore in the first half of FY 2024-25. Notably, this growth comes despite a 3% dip in the number of units sold, highlighting a clear shift in consumer preference toward luxury homes. The average price per home has risen sharply to INR 1.23 crore, compared to ₹1 crore during the same period last year.
Cities like Mumbai, Delhi-NCR, and Bengaluru have emerged as frontrunners in this segment. Mumbai Metropolitan Region (MMR) maintained its leadership in premium property sales, with a stable average ticket size of INR 1.47 crore and a 2% growth in sales value to INR 114,529 crore, followed by Delhi-NCR and Bengaluru. Other cities like Hyderabad, Chennai, Pune, and Kolkata also registered substantial increases in average ticket sizes, showcasing the nationwide demand for premium housing.
Luxury Housing: A Lifestyle Statement
The surge in demand for luxury housing is more than just a trend; it reflects the evolving aspirations of homebuyers seeking to elevate their lifestyles. According to a report titled India Market Monitor Q3 2024 – Residential by CBRE South Asia Pvt. Ltd, sales of luxury units priced above ₹4 crore rose by 37.8% YoY during Jan-Sep 2024. In terms of quantum luxury residential unit sales, Delhi-NCR topped with sales of around 5,855 units, a 72% Y-o-Y increase, followed by Mumbai at around 3,820 units, recording 18% Y-o-Y growth, the CBRE report noted.
New Horizons in Luxury Living
Developers are increasingly catering to this shift in buyer preferences by introducing unique, high-end projects. Data from Anarock suggests that holiday homes, farmhouses and villas have seen a rise in demand, particularly among buyers seeking spacious properties that can accommodate remote work setups and long-term investments. Approximately 25% of luxury buyers are investing in holiday homes, while 20% prefer farmhouses.
Mumbai: The Hub of Ultra-Luxury Real Estate
A report by Anarock showed that of the 25 ultra-luxury properties sold across the top cities in 2024 so far, Mumbai alone sold 21 units collectively worth ₹2,200 crore - an 84% share of the total deals in this segment across the top cities.
Looking ahead, the luxury housing market is poised for sustained growth, fueled by a robust demand from NRIs, HNIs, and affluent domestic buyers. Developers are responding with innovative projects that not only meet but exceed buyer expectations.
Speaking on the evolving luxury housing market, Umesh Jandial, Chief Business Officer, Omkar Realtors & Developers remarked, "The growing demand for luxury homes reflects a significant transformation in consumer behavior, driven by a preference for quality and exclusivity. This surge in interest highlights how homebuyers today are willing to invest in homes that redefine living experiences, offering bespoke amenities and a sense of community. In a competitive market like Mumbai, we have always stood for delivering exceptional value through our premium offerings such as Omkar Alta Monte at Malad."
The luxury housing market in India is no longer just about homes—it’s about crafting lifestyles, experiences, and legacies. As the segment continues to evolve, it remains a lucrative and aspirational investment avenue, setting new benchmarks in real estate.
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