Bengaluru Luxury Real Estate: ₹10 Crore Buys Smaller Homes in 2025
Bengaluru’s luxury residential market has seen a significant shift in 2025, with ₹10 crore now purchasing only 3,843 square feet of luxury housing, a decrease of almost 3.5% from 3,983 square feet in 2024, according to Knight Frank’s Wealth Report 2026.
Among major Indian cities tracked in the report, Bengaluru recorded the steepest annual drop in the area available for ₹10 crore, signaling the fastest pace of luxury home price appreciation. This trend highlights the increasing demand and limited supply in the city’s luxury real estate sector.
Knight Frank noted that the reduction in area available across Indian cities came despite rupee depreciation. Luxury residential prices in Bengaluru, Mumbai, and Delhi rose faster than currency gains. The report stated, “The rupee depreciated by about 5.4%, amounting to more Rupees per USD; however, luxury property prices per square foot (sq ft) in all three cities rose faster (Mumbai at about 8.7%, Delhi at 6.9%, and Bengaluru at 9.4%) than the foreign exchange gain, so the net sq m purchasable for ₹10 crore still fell as price appreciation outpaced the currency tailwind.”
Mumbai remains India’s costliest luxury residential market, where the same amount of money can now buy 1,033 sq ft, down from 1,066 sq ft in 2024. In Delhi, ₹10 crore can purchase 2,207 sq ft, a slight decrease from 2,239 sq ft last year. In Hyderabad, homebuyers can get 5,360 sq ft of home compared to 5,414 sq ft in 2024.
Bengaluru’s luxury residential prices saw a robust 9.4% year-on-year increase in 2025, making it one of the fastest-growing luxury housing markets globally. The city climbed 32 places in the Prime International Residential Index (PIRI 100), moving from 40th rank in 2024 to 8th in 2025. This significant improvement underscores the growing appeal of Bengaluru’s luxury real estate sector.
Mumbai also posted strong gains, with luxury residential prices increasing 8.7% year-on-year amid robust demand for premium and super-prime homes, including record new-build sales above ₹20 crore. The city improved its ranking from 21st in 2024 to 10th in 2025. Meanwhile, Delhi recorded a 6.9% rise in luxury home prices, helping it move up one place from 18th to 17th position globally.
Globally, Tokyo led with a sharp 58.5% rise in luxury residential prices, while China’s Guangzhou was among the weakest performers with a 12.2% decline. Regionally, the Middle East topped growth charts with an average increase of 9.4%, driven largely by Dubai’s 25.1% surge. Latin America and the Caribbean followed with 4.7% growth, while Asia-Pacific and Europe recorded comparable gains of 3.6% and 3.3%, respectively. North America was the only region in negative territory, posting an average decline of 0.9% amid continued weakness in Canadian housing markets.
The Wealth Report 2026, which covers price performance across 100 global luxury housing markets, reported an average rise of 3.2% year-on-year in luxury residential prices in 2025. This outperformance of mainstream housing markets for the second consecutive year highlights the resilience and appeal of luxury real estate, even in challenging economic conditions.
