Goa Real Estate and Hotel Tariffs Witness 15-20% Correction Amid Tourist Surge
Goa, a popular tourist destination, is experiencing a significant 15-20% correction in real estate prices and hotel tariffs, marking the first decline since the post-pandemic boom. This trend is seen as a healthy cycle that will build a stronger foundation for future growth.
GoaReal EstateHotel TariffsTourismCorrectionReal EstateSep 18, 2025
Citing insiders from the hospitality and real estate industry, the news report mentioned that the rates have seen a decline of 15-20 per cent in this calendar year. The trend is part of a ‘healthy cycle’ that would create stronger foundations for growth in the future.
Nikhil Sharma, MD and COO (South Asia) at Radisson Hotel Group, told The Economic Times, “We are seeing a substantial correction in rates across Goa, both in hotels and long-term rentals, with rates coming down by nearly 15-20%.” He said the most visible drop is being witnessed in North Goa hotels, particularly in the free and independent traveller segment.
Sharma also said that the residential rental market is also witnessing a significant impact, especially in the group housing category. He noted that overall, this correction is healthy for the market, adding that it ensures affordability, stimulates demand, and builds long-term stability for both hoteliers and villa-owners.
The stabilisation in the prices of villas in Goa is being seen as a healthy sign for the market, Aditya Kushwaha, CEO and director, Axis Ecorp, told The Economic Times. He added that the current phase is now establishing a more realistic entry point for buyers, especially for non-resident Indians (NRIs) who see a strong lifestyle and investment value in second homes. North Goa villas have seen a jump of nearly 30 per cent in 2022; however, the prices have now stabilised as cautious buyer sentiment and oversupply have come into play.
While the villas in North Goa have seen a price correction in the first half of 2025 due to oversupply, South Goa, on the other hand, continues to maintain its strong value owing to its restricted supply.
However, despite a weak price trend in Goa, several property developers from across the country are launching projects in the state. The current period is being described as a ‘cooling-off’ phase because of the increased supply of new hotels and villas; however, the outlook continues to be optimistic as the new infrastructure projects that are getting launched are improving connectivity across the country.
In the first half of 2025, over 5.4 million tourists visited the state, according to data from the Goa tourism department. Out of the 5.4 million tourists, 5.18 million were domestic visitors, while 271,000 were international tourists. January proved to be the strongest month, registering 1 million tourists, including 986,000 domestic and nearly 70,000 foreign arrivals. February followed with 905,000 tourists, comprising 844,000 domestic and over 61,000 international travellers. March saw a footfall of 889,000 tourists, with 832,000 from within India and around 56,000 from abroad.
Frequently Asked Questions
What is the current trend in Goa's real estate and hotel tariffs?
Goa is witnessing a 15-20% correction in both real estate prices and hotel tariffs, marking the first decline since the post-pandemic boom. This trend is seen as a healthy cycle that will create stronger foundations for future growth.
How has the residential rental market been affected in Goa?
The residential rental market in Goa, especially in the group housing category, is also seeing a significant impact. This correction ensures affordability and builds long-term stability for both hoteliers and villa-owners.
What is the current state of villa prices in Goa?
The stabilisation in villa prices in Goa is being seen as a healthy sign. North Goa villas have seen a price correction due to oversupply, while South Goa maintains strong value due to restricted supply.
Are new property projects still being launched in Goa despite the weak price trend?
Yes, several property developers are still launching projects in Goa. The current period is described as a ‘cooling-off’ phase, but the outlook remains optimistic due to new infrastructure projects improving connectivity.
How many tourists visited Goa in the first half of 2025?
In the first half of 2025, over 5.4 million tourists visited Goa, with 5.18 million being domestic visitors and 271,000 being international tourists. January saw the highest footfall with 1 million tourists.
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