Gurugram Leads Housing Price Surge, Mumbai Lagging Behind

In the last five years, the average price of new housing projects in India’s top 10 cities has surged by 88%, with Gurugram leading the pack at a 160% increase. Mumbai, on the other hand, has seen the lowest rise at 37%. This surge is attributed to massiv

Real EstateHousing PricesGurugramMumbaiPropequityReal Estate PuneOct 16, 2024

Gurugram Leads Housing Price Surge, Mumbai Lagging Behind

Real Estate Pune:The average price of new housing projects in India’s top 10 cities has surged by 88% in the last five years, according to a report by real estate data analytics firm PropEquity. The report highlights that Gurugram has seen the most significant increase, with prices jumping from Rs 7,500 per sqft in 2019 to Rs 19,500 per sqft in 2024, a staggering 160% rise. On the other end of the spectrum, Mumbai has experienced the lowest increase, with prices rising from Rs 25,820 per sqft to Rs 35,500 per sqft, a moderate 37% increase.

During this period, around 15,000 projects were launched, including apartments, floors, and villas, in the top 10 cities Bengaluru, Chennai, Hyderabad, Kolkata, Mumbai, Thane, Navi Mumbai, Pune, Noida, and Gurugram.

Commenting on the data, Samir Jasuja, Founder & CEO of PropEquity, said, “Real estate prices have gone up exponentially across all major cities in the last five years. The primary factors driving this surge include massive infrastructure development, growing interest from NRIs, HNIs (High Net Worth Individuals), and UHNIs (Ultra High Net Worth Individuals), as well as stock market gainers looking to create wealth and generate income through real estate investments. Additionally, rising homeownership sentiments and the overall shift towards luxury and super luxury homes due to rising aspirations and affluence are also contributing to the steep rise in prices.”

The report further details the price increases in the top 10 cities
- Gurugram 160% increase
- Noida 146% increase
- Bengaluru 98% increase
- Hyderabad 81% increase
- Chennai 80% increase
- Pune 73% increase
- Navi Mumbai 69% increase
- Kolkata 68% increase
- Thane 66% increase
- Mumbai 37% increase

In terms of per sqft prices, Mumbai remains the costliest city with an average price of Rs 35,500 per sqft, followed by Gurugram at Rs 19,500 per sqft and Noida at Rs 16,000 per sqft.

The data also highlights that in 2019, only Mumbai had average prices for new launch projects above Rs 10,000 per sqft. By 2024, seven out of the ten cities, excluding Hyderabad, Chennai, and Kolkata, saw average launch prices rise above Rs 10,000 per sqft.

These trends indicate a significant shift in the real estate market, driven by a combination of economic, social, and infrastructural factors. The rising prices reflect the increased demand for high-quality, luxury housing options and the growing confidence of investors in the real estate sector. As infrastructure continues to develop and economic conditions improve, it is likely that these trends will persist, making real estate a potentially lucrative investment opportunity for many.

Frequently Asked Questions

What is the average increase in housing prices in India's top 10 cities over the last five years?

The average increase in housing prices in India's top 10 cities over the last five years is 88%.

Which city has seen the highest increase in housing prices?

Gurugram has seen the highest increase in housing prices, with a 160% rise from Rs 7,500 per sqft in 2019 to Rs 19,500 per sqft in 2024.

What are the factors contributing to the surge in housing prices?

The primary factors contributing to the surge in housing prices include massive infrastructure development, growing interest from NRIs, HNIs, and UHNIs, rising homeownership sentiments, and the overall shift towards luxury and super luxury homes.

Which city has the lowest increase in housing prices among the top 10 cities?

Mumbai has the lowest increase in housing prices among the top 10 cities, with a 37% rise from Rs 25,820 per sqft to Rs 35,500 per sqft.

How many new housing projects have been launched in the top 10 cities over the last five years?

Approximately 15,000 new housing projects, including apartments, floors, and villas, have been launched in the top 10 cities over the last five years.

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