Luxury housing sales record 28% YoY growth across top seven cities in Q1 2025

India’s luxury housing market sustained its upward trajectory in Q1 2025, with sales of high-end homes priced above Rs. 4 crore (US$ 464,594.80) rising nearly 28% YoY across the top seven cities. Approximately 1,930 units were sold during the quarter, compared to 1,510 units in Q1 2024. Delhi-National Capital Region (NCR) led with a 49% market share, followed by Mumbai at 23%. Bengaluru recorded the steepest growth, with luxury home sales rising from just 20 units in Q1 2024 to nearly 190 in Q1 2025. While Kolkata and Chennai contributed 5% to overall sales together, Hyderabad’s share saw a sharp drop from 45% last year to just 5% this quarter. The positive trend reflects strong end-user demand, improved buyer sentiment, and support from the Reserve Bank of India’s (RBI) recent repo rate cut. 

According to Coldwell Banker Richard Ellis (CBRE), the Indian residential market exhibited maturity and balance, with approximately 65,800 units sold and 65,300 new units launched in Q1. Mumbai led overall sales with 18,600 units, followed by Pune (12,500), Delhi-NCR (10,000), and Bengaluru (9,300). High-end homes comprised 27% of total sales, while the mid-end segment accounted for 25%. On the supply side, 30% of new launches were in luxury. Developers are expected to maintain a strong launch pipeline through 2025, backed by significant land acquisitions in 2023 and 2024. According to the Chairman of House of Abhinandan Lodha, Mr. Abhinandan Lodha, demand for premium villa plots priced upwards of Rs. 5 crore (US$ 580,743.50) remains robust, especially among Chief Experience Officers (CXOs), Non-Resident Indians (NRIs), and affluent individuals. Experts believe the anticipated easing of interest rates and the narrowing gap between Equated Monthly Installment (EMIs) and rentals will further support housing demand across urban and semi-urban markets. 

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.