India’s real estate market has witnessed a tremendous transformation over the past two decades, with luxury housing emerging as one of its fastest-growing segments. The demand for high-end residential properties has surged due to factors such as urbanization, rising disposable incomes, and a shift in lifestyle preferences among India’s affluent class and Non-Resident Indians (NRIs). In recent years, the concept of luxury real estate has evolved beyond just opulent interiors and prime locations—it now encompasses wellness amenities, sustainable architecture, smart home technology, and exclusivity.
The demand for luxury homes, particularly those priced at Rs 4 crore and above, saw a significant rise in 2024. According to CBRE, luxury home sales increased by an impressive 53% across seven major cities in India. A total of 19,700 elite housing units were sold in 2024, compared to 12,895 units in 2023, indicating a growing appetite for premium residences.
Delhi-NCR Leading the Luxury Housing Boom
Among all cities, the Delhi-NCR region emerged as the dominant player in the luxury housing market. In 2024, the region recorded the sale of 10,500 luxury housing units, nearly doubling the 5,525 units sold in 2023. This phenomenal growth was largely driven by a combination of ultra-high-net-worth individuals (UHNWIs), HNIs, and NRIs who see Delhi-NCR as an attractive real estate destination.
The surge in luxury housing sales in Delhi-NCR is also a reflection of an evolving homeownership mindset. Aakash Ohri, Joint Managing Director and Chief Business Officer of DLF Home Developers, attributes this trend to a deeper appreciation of homeownership, with buyers prioritizing comfort, security, and exclusivity.
Mumbai, Pune, and Other Cities Witness a Strong Uptick
While Delhi-NCR led the market, Mumbai remained a key player in India’s luxury housing segment. In 2024, Mumbai recorded sales of 5,500 luxury housing units, up from 4,200 in 2023. Pune, too, saw a remarkable jump, with sales increasing from 400 units in 2023 to 825 units in 2024, marking an over 100% growth rate.
Meanwhile, Kolkata’s luxury housing market grew steadily, with sales increasing from 310 units to 530 units. Hyderabad saw a minor yet positive increase, with luxury home sales reaching 2,100 units in 2024 compared to 2,030 in 2023. Chennai also showed promising growth, recording sales of 275 luxury units, up from 165 units in 2023.
The only outlier in this growth story was Bengaluru, where luxury housing sales declined to 50 units in 2024, down from 265 units in the previous year. This decline is attributed to changes in buyer preferences, shifting focus towards mid-range and premium housing instead of ultra-luxury developments.
Factors Driving the Luxury Realty Boom
1. Affluent Buyers and NRIs Leading the Charge
Affluent domestic buyers and NRIs have been key contributors to the surge in luxury real estate demand. Many NRIs, particularly from the U.S., Canada, the Middle East, and Europe, are investing in Indian real estate, viewing it as a stable and high-yielding asset.
Akash Khurana, President and CEO of Krisumi Corporation, highlights that the increasing demand for high-end homes is reflective of India’s evolving real estate landscape, with NCR emerging as a high-potential luxury destination.
2. Preference for Spacious, Well-Equipped Homes
Post-pandemic homebuyers have shown an increased inclination toward spacious homes with premium amenities. Wellness-focused developments, large balconies, private terraces, dedicated workspaces, and advanced home automation have become defining features of the new-age luxury home.
3. Stable Investment Opportunity
Real estate has traditionally been a preferred asset class for Indian investors, and this preference has only strengthened over the past few years. A survey conducted by Anarock found that 70% of women investors preferred real estate investments in 2024, compared to 65% in 2022 and 57% in pre-COVID times.
“Considering the recent stock market volatility, women have increasingly turned to housing as the winning investment ticket,” the report stated. The trend indicates a growing shift toward real estate as a safe and lucrative asset class.
Key Insights from CBRE’s India Market Monitor Q4 2024
CBRE’s report provides valuable insights into the overall housing market trends in India:
- Housing Sales Growth: 7% quarter-over-quarter (Q-o-Q) growth in Q4 2024.
- Market Distribution:
- Mid-End Housing: 40% of total sales.
- High-End Housing: 36% of total sales.
- Luxury Housing: 9% of total sales.
- Premium Housing: 28% of total sales.
- Affordable Housing: 7% of total sales.
- City-Wise Sales Contribution:
- Mumbai: 23,100 units (31% of Q4 sales)
- Delhi-NCR: 10,200 units (13% of Q4 sales)
- Pune: 16,250 units (19% of Q4 sales)
- Bengaluru: 8,900 units (13% of Q4 sales)
- Hyderabad: 2,100 units (13% of Q4 sales)
- New Unit Launches: 281,600 residential units launched in 2024.
Future Outlook for Luxury Realty in India
Industry experts predict that the elite housing segment will continue its upward trajectory, supported by a steady influx of investments, increased affordability among the ultra-rich, and evolving lifestyle aspirations.
Anshuman Magazine, Chairman & CEO – India, South-East Asia, Middle East & Africa at CBRE, expects momentum to remain strong, with new launches keeping pace with demand. He also notes that cities traditionally dominated by mid-end developments—such as Noida, Bengaluru, Pune, and Chennai—are increasingly witnessing high-end projects, indicating a broader shift in buyer preferences.
Luxury realtor and social media content creator with over 245k followers on Instagram, Snehil Yadav says – “India’s luxury real estate market is undergoing a transformative phase, marked by record sales, evolving buyer expectations, and the emergence of new luxury destinations.”
With demand surging across metro cities and premium residential offerings becoming more sophisticated, the sector is poised for continued expansion in the coming years.
Whether driven by NRIs investing in Indian properties, ultra-rich homebuyers looking for exclusive spaces, or women preferring real estate over stock investments, elite housing is set to be one of the most dynamic segments of the Indian real estate market. As developers continue to innovate with smart homes, eco-friendly designs, and integrated lifestyle offerings, elite real estate in India will continue to redefine modern urban living.