Bengaluru Shines: 4th in Global Premium Home Price Rise, Knight Frank Reports
Bengaluru has secured the 4th position among 46 global cities in the annual price appreciation of prime residential properties, according to Knight Frank's latest report. Mumbai and Delhi also made the list, ranking 6th and 15th, respectively.
BengaluruReal EstateKnight FrankPremium HomesPrice AppreciationReal Estate MumbaiAug 18, 2025
Mumbai ranks 6th, while Delhi is at the 15th position, according to Knight Frank's Prime Global Cities Index (PGCI) Q2 (April-June) 2025 report. Seoul topped the list with an annual appreciation of 25.2 per cent in prime residential properties, followed by Tokyo with 16.3 per cent and Dubai with 15.8 per cent.
The Prime Global Cities Index is a valuation-based index that tracks the movement of prime residential prices across 46 cities worldwide. It provides a comprehensive overview of the real estate market trends and helps investors and developers make informed decisions.
In India, Bengaluru witnessed a significant 10.2 per cent increase in prices of prime housing properties, while Mumbai saw an 8.7 per cent rise, and Delhi a 3.9 per cent increase. These figures underscore the resilience of Indian cities in the face of global economic challenges.
According to the report, the average global prime residential prices rose by 2.3 per cent in the 12 months to June 2025. However, this is a decline from the 3.5 per cent growth recorded in Q1 2025. Despite this global cooling, Indian cities continue to perform well, driven by strong demand, limited prime supply, and sustained wealth creation in urban centres.
Knight Frank's report highlights the factors contributing to the strong performance of Indian cities in the premium housing market. The consultant noted that Bengaluru, in particular, has seen a surge in demand from tech professionals and young families, which has fueled the appreciation of prime properties. The city's robust infrastructure, including the expansion of the metro and the development of new business districts, has also played a crucial role in attracting both domestic and international buyers.
Mumbai, known for its financial and entertainment sectors, continues to attract high-net-worth individuals and corporate investments. The city's prime locations, such as South Mumbai and Bandra-Kurla Complex, have seen significant price appreciation due to their strategic importance and limited availability of new developments.
Delhi, the national capital, has also shown resilience in the premium housing market. The city's well-established business districts, such as Gurgaon and Noida, have attracted a growing number of tech companies and startups, driving demand for high-end residential properties.
The report from Knight Frank provides valuable insights into the global and Indian real estate markets, helping stakeholders navigate the complex landscape of prime residential properties. As the market continues to evolve, cities like Bengaluru, Mumbai, and Delhi are expected to remain key players in the premium housing sector, driven by their unique economic and demographic advantages.
Frequently Asked Questions
What is the Prime Global Cities Index (PGCI)?
The Prime Global Cities Index (PGCI) is a valuation-based index that tracks the movement of prime residential prices across 46 cities worldwide. It provides insights into the real estate market trends and helps investors and developers make informed decisions.
Which city topped the PGCI Q2 2025 report?
Seoul topped the PGCI Q2 2025 report with an annual appreciation of 25.2 per cent in prime residential properties.
What was the average global prime residential price growth in the 12 months to June 2025?
The average global prime residential price growth in the 12 months to June 2025 was 2.3 per cent.
Why did Bengaluru witness a 10.2 per cent increase in prime housing property prices?
Bengaluru witnessed a 10.2 per cent increase in prime housing property prices due to strong demand from tech professionals and young families, robust infrastructure development, and limited prime supply.
What factors are driving the premium housing market in Mumbai and Delhi?
Mumbai's premium housing market is driven by its financial and entertainment sectors, attracting high-net-worth individuals and corporate investments. Delhi's market is driven by its well-established business districts and the growing presence of tech companies and startups.
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