Luxury Housing Sales Soar: A 27% Surge in Top 7 Indian Cities
Mumbai, Delhi-NCR, and Hyderabad lead the luxury housing sales with a 27% YoY growth, driven by affluent buyers seeking enhanced amenities and spacious living areas.
Luxury HousingReal EstateIndiaCbreDelhi NcrMumbaiHyderabadReal Estate MumbaiJul 19, 2024
Delhi-NCR, Mumbai, and Hyderabad emerged as the leading cities, accounting for nearly 84% of the total luxury housing sales across the top seven cities. Pune recorded a noteworthy increase in luxury sales activity, with demand growing nearly six-fold on an annual basis to touch 1,100 units.
In terms of quantum luxury residential unit sales, Delhi-NCR topped with sales of 3,300 units, a 13.8% YoY increase, followed by Mumbai at 2,500 units, recording 13.6% YoY growth. Hyderabad stood at 1,300 units, a 44% YoY increase, while Pune registered sales of 1,100 units, marking a 450% YoY increase during this period.
The surge in demand for luxury housing has been primarily driven by a growing preference by affluent buyers seeking enhanced amenities and more spacious living areas that complement their multifaceted lifestyle. Additionally, the aspirational class has been on an upward trend, significantly driving luxury sales.
The rise in NRI and astute investors in the Indian real estate market has considerably contributed to the heightened demand for luxury properties. This trend aligns with the noticeable shift in buyer preferences towards high-end units launched by leading developers, as evidenced by the substantial market share of tier-I developers.
In the overall residential sector, Mumbai, Pune, and Bangalore emerged as the leading cities, accounting for a 63% share in total residential sales in India during Jan-Jun'24.
Anshuman Magazine, chairman & CEO - India, South-East Asia, Middle East & Africa, CBRE, said, 'We foresee a strong momentum in the housing market for the remainder of the year. This optimism is driven by favourable homebuying sentiments, festive season promotions, and significant land acquisitions by developers.'
The luxury housing segment, particularly for properties priced at Rs 4 crore and above, is set to thrive as buyers seek homes that align with their affluent lifestyles. Capital value growth in this segment is projected to stabilise, with an increasing focus on core project fundamentals such as quality, location, and access to essential infrastructure.
CBRE South Asia Pvt. Ltd. is a leading real estate consulting firm that provides expertise in property sales, leasing, and management services.
Information
The Indian real estate market has been witnessing a significant growth in recent years, driven by factors such as urbanisation, infrastructure development, and favourable government policies.
Frequently Asked Questions
What was the year-over-year growth in luxury housing sales during the January-June 2024 period?
27%
Which cities accounted for nearly 84% of the total luxury housing sales across the top seven cities?
Delhi-NCR, Mumbai, and Hyderabad
What was the driving factor behind the surge in demand for luxury housing?
Growing preference by affluent buyers seeking enhanced amenities and more spacious living areas
Which city recorded a noteworthy increase in luxury sales activity during the January-June 2024 period?
Pune
What is the projected capital value growth in the luxury housing segment?
Stabilisation, with an increasing focus on core project fundamentals such as quality, location, and access to essential infrastructure
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