Luxury Housing Sales Rise By ~27% Y-o-Y In Jan-Jun ‘24 Across 7 Cities
Total sales of luxury units during this period reached around 8,500 units, up from about 6,700 units during the same period last year. Delhi-NCR, Mumbai, and Hyderabad emerged as the leading cities, accounting for nearly 84% of the total luxury housing sales across the top seven cities. Pune also recorded a notable increase in luxury sales, with demand growing nearly six-fold to approximately 1,100 units on an annual basis.
Delhi-NCR led in terms of the number of luxury residential unit sales, with around 3,300 units sold, reflecting a 13.8% Y-o-Y increase. Mumbai followed with sales of approximately 2,500 units, marking a 13.6% Y-o-Y growth. Hyderabad saw sales of about 1,300 units, a significant 44% Y-o-Y increase, while Pune registered sales of 1,100 units, marking a remarkable 450% Y-o-Y increase during this period.
The trend continued into the April to June 2024 quarter, with the luxury housing segment across top cities registering a 40.1% Y-o-Y increase in sales. The quarter witnessed total sales of approximately 4,410 luxury housing units, up from around 3,150 units in the same quarter last year. Delhi-NCR, Mumbai, and Hyderabad again emerged as prominent markets during this quarter, with Kolkata also seeing a notable two-fold increase in luxury residential sales.
The surge in demand for luxury housing is driven by affluent buyers seeking enhanced amenities and more spacious living areas that complement their multifaceted lifestyles. Additionally, the aspirational class has been on an upward trend, significantly driving luxury sales. The rise in NRI and astute investors in the Indian real estate market has also considerably contributed to the heightened demand for luxury properties.
This trend aligns with the noticeable shift in buyer preferences towards high-end units launched by leading developers, as evidenced by the substantial market share of tier-I developers. The shift is expected to persist, reflecting the evolving expectations of modern homebuyers who are now more discerning and well-informed about developer reputation, execution capability, and financial stability.
