Keval Valambhia Rising Demand And Transformative Growth in India’s Top Cities
India’s luxury housing market has entered an era of unprecedented growth, as evidenced by significant increases in average ticket sizes and total sales values across the top seven metropolitan cities. A detailed analysis by CREDAI-MCHI’s research team sheds light on how urban housing markets are evolving to accommodate the surge in high-end property demand.
Between April and September 2024 (H1 FY2025), sales data revealed over 227,400 housing units valued at approximately ₹279,309 crore. This marks an 18 percent increase in total sales value compared to the same period in FY2024, despite a modest 3% decline in the total number of units sold. The average price of homes sold across these cities rose sharply to ₹1.23 crore in H1 FY2025, up from ₹1 crore in H1 FY2024.
This comprehensive review dives deep into the performance of India’s leading real estate markets, presenting a statistical breakdown of their transformative growth.
The aggregate sales value across the top seven cities witnessed a significant surge of 18 percent in H1 FY2025, reaching ₹279,309 crore, up from ₹235,800 crore in H1 FY2024. This growth was accompanied by an increase in the average ticket size, which rose to ₹1.23 crore in H1 FY2025, compared to ₹1 crore in H1 FY2024. This uptick in home prices reflects a growing preference for premium properties across urban markets, highlighting an evolving trend towards higher-value real estate investments.
Citywise highlights:
National Capital Region (NCR) emerged as a leader in premium real estate, with a remarkable 56 percent rise in average ticket size, from ₹93 lakh in H1 FY2024 to ₹1.45 crore in H1 FY2025. Sales value grew by 55 percent, reaching ₹46,611 crore from ₹30,154 crore. However, unit sales dipped slightly by 1 percent, from 32,315 to 32,120 units. These trends highlight NCR’s growing focus on high-value properties, cementing its position as a premium housing hub.
Mumbai Metropolitan Region (MMR)
(MMR) retained its reputation as India’s most stable real estate market. The average ticket size remained steady at ₹1.47 crore, while sales rose marginally by 2 percent, from ₹1,12,356 crore to ₹1,14,529 crore. Units sold also increased slightly by 2 percent, from 76,410 to 77,735. MMR’s consistent performance underscores its maturity and dominance in luxury housing.
Bengaluru
Known for its affluent buyer base, Bengaluru saw a 44 percent increase in average ticket size, rising from ₹84 lakh to ₹1.21 crore. Sales value mirrored this growth, climbing from ₹26,274 crore to ₹37,863 crore, a 44 percent rise. Despite these gains, unit sales remained steady at approximately 31,400 units, reflecting a shift toward premium housing.
Hyderabad
Hyderabad’s luxury housing market witnessed a 37 percent increase in average ticket size, from ₹84 lakh to ₹1.15 crore, and a 28 percent rise in sales value, from ₹25,059 crore to ₹31,993 crore. However, unit sales declined by 7 percent, from 29,940 to 27,820, indicating a focus on value-driven growth in high-end properties.
Chennai
Chennai recorded a 31 percent growth in average ticket size, from ₹72 lakh to ₹95 lakh, alongside a 20 percent increase in sales value, from ₹7,516 crore to ₹9,015 crore. Unit sales dropped by 9 percent, from 10,435 to 9,531, highlighting Chennai’s shift toward quality over quantity in luxury housing.
Pune
Pune demonstrated strong growth in affordable luxury, with a 29 percent rise in average ticket size, from ₹66 lakh to ₹85 lakh, and a 19 percent jump in sales value, from ₹28,590 crore to ₹34,033 crore. Units sold decreased by 8 percent, from 43,560 to 40,190, reflecting a growing preference for aspirational, premium housing.
Kolkata
Kolkata showed subdued growth, with the average ticket size increasing by 16 percent, from ₹53 lakh to ₹61 lakh. However, sales value declined from ₹5,851 crore to ₹5,265 crore, and units sold dropped by 22 percent, from 11,095 to 8,620. The market remained focused on mid-range properties.
The luxury housing market is driven by key trends, including a growing preference for larger, well-equipped homes in prime locations, robust demand for high-end properties despite unit sales declines in some markets, and regional variations with cities like NCR, Bengaluru, and Hyderabad leading in ticket size growth. To support this growth, streamlined approvals for high-value projects, tax incentives, flexible financing options for buyers, and transparent transaction mechanisms, including clarity in titles and RERA compliance, are essential. These measures will enhance buyer confidence and accelerate the development of premium housing.
India’s top cities are set for continued growth in high-end real estate, driven by rising incomes, shifting buyer preferences, and strong market fundamentals. Developers must innovate with design excellence, sustainability, and premium amenities to meet evolving expectations. According to a CREDAI-MCHI analysis, these cities redefine urban living through luxury housing. The housing sector can unlock significant growth opportunities by leveraging emerging trends and fostering stakeholder collaboration.
