New Delhi Surges to 6th in Global Luxury Home Price Growth, Up 6.7% in Q4
New Delhi has secured the 6th position among 44 cities globally for luxury home price growth, with a 6.7% increase in the December 2024 quarter, according to Knight Frank's Prime Global Cities Index. The city's rise reflects a growing demand for high-end
Luxury Real EstateNew DelhiKnight FrankPrime Global Cities IndexHighend PropertiesReal Estate MumbaiFeb 11, 2025
According to the latest Prime Global Cities Index Q4 2024 by real estate consultant Knight Frank, the capital city witnessed a 6.7% increase in luxury home prices during the December 2024 quarter.
This reflects a growing demand for high-end properties in India’s capital.
The Prime Global Cities Index, a valuation-based tracking system for prime residential prices, evaluates price changes in luxury properties across 44 cities globally.
Seoul topped the list with a remarkable 18.4% surge, followed by Manila (17.9%), Dubai (16.9%), Tokyo (12.7%), and Nairobi (8.3%).
New Delhi’s rise marks it as a key player in the global luxury market.
The latest data from Knight Frank reveals that 34 out of 44 cities reported a positive change in prime residential prices for the 12-month period ending December 2024.
Globally, the overall Prime Global Residential Index rose by 3.2%, reflecting the resilience of luxury real estate despite global economic uncertainties.
“New Delhi’s strong growth in luxury home prices mirrors the broader trend seen across India, where demand for high-end residential properties has been surging,” said Shishir Baijal, Chairman and Managing Director of Knight Frank India.
“The demand is being driven by a growing preference for lifestyle upgrades, supported by India’s stable economic outlook and a buoyant market sentiment.
As we move forward, we expect this segment to continue its upward trajectory.”
India’s luxury home market is on the rise, and New Delhi’s performance is part of a broader trend of the luxury housing market expanding rapidly across the country.
Other Indian cities like Mumbai (ranked 7th with a 6.1% increase) and Bengaluru (ranked 13th with a 4.1% increase) have also experienced notable price hikes in their luxury segments.
This further solidifies India’s position as an emerging powerhouse in the global real estate market.
The rise in demand for luxury homes in New Delhi can be attributed to several factors, including increased affluence, a growing number of high-net-worth individuals, and the capital's appeal as a business and political hub.
Additionally, the Indian luxury market is benefiting from economic stability and a positive outlook, which encourages affluent buyers to seek out lifestyle upgrades in the form of more spacious, sophisticated homes.
Globally, the luxury home market remains strong, despite ongoing challenges such as inflationary pressures and the complexities of economic policy.
According to Liam Bailey, Knight Frank’s Global Head of Research, “While inflation remains stubborn in many developed economies, the expectation is that interest rates will likely continue to fall in 2025, unlocking further growth in house prices.
As economic conditions evolve, demand for luxury properties is expected to stay robust, with key cities like New Delhi continuing to see price increases.”
A Snapshot of Global Rankings
- Seoul – 18.4% increase (Rank 1)- Manila – 17.9% increase (Rank 2)- Dubai – 16.9% increase (Rank 3)- Tokyo – 12.7% increase (Rank 4)- Nairobi – 8.3% increase (Rank 5)- New Delhi – 6.7% increase (Rank 6)- Mumbai – 6.1% increase (Rank 7)- Madrid – 5.5% increase (Rank 8)- Perth – 5.3% increase (Rank 9)- Lisbon – 5.3% increase (Rank 10)
Frequently Asked Questions
What is the Prime Global Cities Index?
The Prime Global Cities Index is a valuation-based tracking system for prime residential prices, evaluating price changes in luxury properties across 44 cities globally.
How much did New Delhi's luxury home prices increase in Q4 2024?
New Delhi's luxury home prices increased by 6.7% in the December 2024 quarter, according to the Prime Global Cities Index Q4 2024.
Which city topped the list for luxury home price growth in Q4 2024?
Seoul topped the list with a remarkable 18.4% increase in luxury home prices in the December 2024 quarter.
What factors are driving the demand for luxury homes in New Delhi?
The demand for luxury homes in New Delhi is being driven by increased affluence, a growing number of high-net-worth individuals, and the capital's appeal as a business and political hub. Additionally, India’s stable economic outlook and a positive market sentiment are key factors.
What is the global outlook for luxury property prices in 2025?
According to Liam Bailey, Knight Frank’s Global Head of Research, interest rates are expected to continue falling in 2025, which will unlock further growth in house prices. As economic conditions evolve, demand for luxury properties is expected to remain robust.
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