Demand for lavish and luxurious housing projects remained resilient in 2024 despite a sharp surge in property prices. This particular segment defied a slowdown in economic growth as the growing tribe of high-net-worth individuals did not shy away from making big-ticket purchases.
As per data issued by real estate consultant firm Anarock, housing prices rose between 13-30% year-on-year in 2024 across the top 7 cities, primarily due to increased input costs and strong homebuyer demand. Delhi-NCR recorded the highest yearly jump of 30% in average residential housing price – from Rs 5,800 per sq. ft. in 2023 to nearly Rs 7,550 per sq. ft. in 2024. The top 7 cities together saw a 21% yearly jump in average residential price – from Rs 7,080 per sq. ft. in Q4 2023 to over Rs 8,590 per sq. ft. in Q4 2024.
While this steep increase impacted overall housing sales in 2024, luxury housing demand and new supply increased exponentially in 2024. “The new luxury supply addition across the top 7 cities rose by 24% in 2024 against 2023. There is no reason to expect luxury housing demand to taper off in 2025,” said Anarock. The country’s largest real estate developer – DLF – said 2024 has been an encouraging period for the real estate sector, with markets across the country witnessing positive momentum, a trend that continues into 2025.
“For us at DLF, the year began with the remarkable success of two consecutive launches within the DLF Privana ecosystem in Gurugram, both achieving complete sell-outs in under a week during their pre-launch phase. This milestone underscores the robust demand for premium real estate and Gurugram’s status as a key hub for luxury living,” said Aakash Ohri, JMD & Chief Business Officer, DLF Homes.
DLF achieved a milestone with the Rs 190 crore sale of an apartment in its Camellias project and is now set to launch The Dahlias in Gurugram, poised to become India’s most expensive residential project. Comprising 400 residences with starting prices of Rs 80,000 per sq. ft., the average ticket size is expected to hover nearly Rs 100 crore, as per PropEquity.
Ohri said the demand for luxury homes remained resilient, contrary to the perception of a slowdown, as buyers increasingly seek expansive, well-designed residences with world-class amenities that cater to their elevated lifestyles.
Besides DLF, other top-tier players like Godrej Properties, Macrotech Developers (Lodha), Oberoi Realty and Prestige Estate recorded robust demand for their luxurious properties. Samir Jasuja, founder & CEO, PropEquity said luxury housing continued its dominance which is reflected in the fact that the market size of apartments, priced over Rs 5 crore has gone up from $4 billion to $16 billion in the last 4 years witnessing 4x growth.
Sunny Bijlani, joint MD at Supreme Universal stated that in 2023, luxury segment achieved a historic milestone with a 12-15% YoY rise in sales, a trend that strongly continued in 2024. “This year, Mumbai documented a 13% rise in prime residential property prices, reflecting the growing appetite for premium high-end homes in the city. This momentum is expected to continue into 2025, with the premium realty market poised for more dynamic growth. The new generation of buyers, increasingly drawn to bespoke residences in prime locations such as South Mumbai and Bandra are fueling this demand,” said Bijlani.
While the luxury segment grew, overall housing sales across top seven cities recorded a 4% decline, with approximately 4,59,650 units sold in 2024 compared to 4,76,530 units in 2023, as per Anarock data.
Mumbai Metropolitan Region (MMR) saw the highest sales of about 1,55,335 units in 2024, registering a 1% yearly rise. Pune followed with 81,090 units sold, down 6% YoY. Among other cities, Bengaluru saw a 2% surge in sales. Demand fell in Kolkata (20%) and Chennai (11%), followed by a 5% fall in Hyderabad, and a 6% decline each in Pune and Delhi NCR.
Source : The New Indian Express
