Not just budget homes, demand for luxury homes too is rising in India

Middle-class and lower-middle-class groups are mostly curious about budget-friendly or low-budget homes. However, a rising trend in owning big-budget, luxury homes by Indians is also being noted. Indians were keen on buying and selling luxury homes and properties in 2024, marking a 23 per cent increase in sales compared to 2023.

The surging demand for luxury homes was noted while observing the real estate transactions done in seven major Indian cities last year. The number of houses that were sold for above Rs 40 crore were considered for the study. 59 such housing units were sold in Indian cities like Delhi – NCR, Mumbai Metropolitan Region, Bengaluru, Hyderabad, Pune, Chennai and Kolkata, last year.

The total value of these housing units comes up to a whopping Rs 4754 crore. In 2023, 58 luxury homes were sold in these cities and their sale value was Rs 4063 crore. Among the 59 houses that were sold last year, 53 were apartments and six were luxury mansions. These numbers were revealed by noted luxury property consultants Anarok.

Meanwhile, 52 luxury homes were sold in Mumbai alone followed by Delhi – NCR with three high-profile sales. The price of 17 houses was above Rs 100 crore and 16 of them were in Mumbai. Anarok noted that the sale value of these 17 houses alone was Rs 2344 crore. This trend shows that the wealthy prefer to invest in luxury real estate in the leading cities of India.

The uber-rich believe that owning a property in these areas that are developing at lightning speed is inevitable. It includes people who purchased homes for personal use as well as an investment. Meanwhile, A-grade developers have been keen to build luxury homes and villas considering the soaring demand for such properties.

The demand for luxury homes has skyrocketed after the Covid-19 outbreak. Numbers show that this demand has been steadily rising since then. Around 130 luxury homes have been sold in the seven Indian cities in 2022, 2023 and 2024, which amounts to a sale value of Rs 9,987 crore.