In the first nine months of this year, luxury home sales in India doubled: CBRE
According to a report by real estate firm CBRE, sales of luxury homes in India priced at Rs. 4 crore (US$ 480,365.2) or more increased 97% in the first nine months of 2023 compared to the same period the previous year. Over 9,200 luxury homes were sold in India's top seven cities this year, up from 4,700 units the previous year.
The company stated in its "India Market Monitor Q3 2023" that this year's festive home sales are anticipated to be the highest in three years. Home sales are predicted to exceed 150,000 units this year, up from 114,500 units in 2021 and 147,300 units in 2022.
According to the report, Hyderabad, Mumbai, and Delhi-NCR emerged as the top three markets dominating sales, together accounting for about 90% of all sales of luxury homes in the top seven cities.
Delhi-NCR came in first place with 37% (3,409 units). Mumbai came in second, followed by Hyderabad and Pune, with 35% (3,252 units), 18% (1,660 units), and 4% (332 units), respectively.
Between January and September, there were over 230,000 homes sold overall across all price categories, representing an increase of almost 5% over the previous year. Nearly half of all home sales were made up of mid-range projects, which were followed by high-end and affordable projects.
Mr. Anshuman Magazine, Chairman and Chief Executive Officer (CEO) of India, South-East Asia, Middle East & Africa at CBRE, “With the pause in the interest rate cycle, incentives and schemes offered by developers in the festive season are likely to boost sales further.”
According to the report, health and safety, sustainability, and the integration of smart home technologies have begun to emerge as important considerations for home purchasers, meaning that pricing is no longer the only aspect that counts.
Demand in the mid-end and premium segments has been rising as the residential cycle matures in the face of inflationary pressures. On the other hand, given the uncertainty surrounding the global macroeconomic environment, high-net-worth individuals (HNIs) and non-resident Indians (NRIs) are projected to prioritise investing in the premium and luxury market.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.