Luxury home prices jump 40% in 3 years-NCR leads with a massive 72% surge

Unsurprisingly, MMR currently has the highest average price in all housing categories across the top 7 cities. The avg. price for homes priced > Rs 1.5 Cr currently stands at INR 40,200/sq. ft.;

India’s luxury housing market has outperformed every other residential category over the past three years, with homes priced above ₹1.5 crore recording the sharpest rise—40% on average—across the top seven cities, according to new data from ANAROCK Research. At 72%, NCR recorded the highest average luxury homes appreciation - from Rs 13,450 per sq. ft. in 2022 to Rs 23,100 per sq. ft. as of 2025.  At 43 per cent, Mumbai Metropolitan Region ( MMR) came in second highest in this budget segment, followed closely by Bengaluru with a 42% increase. 

 

Key highlights:

 

Between 2022 and 2025, average prices of luxury homes in the top seven cities jumped from ₹14,530/sq. ft. to ₹20,300/sq. ft., a steep 40% increase, the highest across all housing brackets.

 

No region has demonstrated this momentum more dramatically than Delhi-NCR, which posted a 72% appreciation—from ₹13,450/sq. ft. in 2022 to ₹23,100/sq. ft. in 2025. This pace far exceeds the performance of markets like MMR and Bengaluru, where luxury prices rose 43% and 42% respectively.

 

City-level luxury pricing (2025 YTD)

 

• MMR: ₹40,200/sq. ft (highest in India)
• NCR: ₹23,100/sq. ft
• Chennai: ₹18,500/sq. ft
• Bengaluru: ₹16,700/sq. ft
• Pune: ₹15,200/sq. ft
• Hyderabad: ₹14,200/sq. ft
• Kolkata: ₹14,200/sq. ft

 

What’s Driving the Boom?

 

According to Anuj Puri, Chairman of the ANAROCK Group, the sustained demand for bigger, better-located, developer-backed luxury homes is the core driver.

 

“Of the 2.87 lakh units sold across the top 7 cities in the first nine months of 2025, nearly 30% were luxury homes,” he said. “That is unprecedented.”

 

With domestic wealth creation accelerating, India’s HNI and ultra-HNI households are turning increasingly to high-value residential assets—not only for lifestyle but also as dependable wealth-storage vehicles in a volatile global environment.

 

Affordable homes - units priced under Rs 40 lakh - saw a far more modest average price appreciation of 26% in this period. The average price in this category across the top 7 cities was Rs 4,220/sq. ft. in 2022. Currently, it averages out at Rs 5,299/sq. ft.

 

At 48%, NCR saw the highest average price jump in the luxury segment – from  Rs 3,520/sq. ft. in 2022 to Rs 5,200 per sq. ft. in 2025. Budget homes in Hyderabad saw the second-best price appreciation of 35% in this period – from Rs 3,880/sq. ft. in 2022 to Rs 5,235/sq. ft. currently. Notably, the current average affordable prices in Delhi-NCR are slightly lower than in Hyderabad.  

Mid & Premium Homes: A Strong 39% Jump

 

The mid-range and premium category, priced between ₹40 lakh and ₹1.5 crore, posted a healthy 39% price rise, from ₹6,880/sq. ft. in 2022 to ₹9,537/sq. ft. in 2025.

 

This segment benefits from:

 

• A growing pool of salaried upper-middle-class buyers,
• Strong demand in markets like Bengaluru, and
• Relatively better affordability compared to luxury.
• City leaders in mid & premium category:
• Bengaluru: Highest appreciation at 62%
• Hyderabad: 49%
• NCR: 54%
• MMR: 43%

 

Bengaluru’s growth is attributed to strong white-collar hiring, a tech-driven migrant base, and enduring demand for mid-sized homes in the ₹1–1.5 crore band. 

Current City-wise Price Trends Across Budget Segments

Unsurprisingly, MMR currently has the highest average price in all housing categories across the top 7 cities. The avg. price for homes priced > Rs 1.5 Cr currently stands at Rs 40,200/sq. ft.; in the affordable segment, it is Rs 6,450/sq. ft., and in the mid and premium segment, Rs 16,400/sq. ft.

 

NCR has the second-highest avg. luxury housing price, currently at Rs 23,100/sq. ft.; mid and affordable housing clock in at Rs 9,750/sq. ft. and Rs 5,200/sq. ft., respectively.

 

In Chennai, the avg. price in the luxury category is currently Rs 18,500/sq. ft., while in the mid and affordable segments it is Rs 7,450/sq. ft. and Rs 4,865/sq. ft., respectively.

 

In Bengaluru, the avg. price for luxury homes stands at Rs 16,700/sq. ft. in 2025 till date; in the mid segment it is Rs 9,140/sq. ft. and in the affordable category, it is Rs 5,450/sq. ft.

 

In Pune, the avg. price of luxury homes is currently Rs 15,200/sq. ft., while in the mid and affordable segments, it is Rs 8,850/sq. ft. and Rs 5,850/sq. ft., respectively.

 

In Kolkata, the avg. price for luxury properties is Rs 14,200/sq. ft. in 2025; in the mid and affordable segments, it is the lowest among the top 7 cities at Rs 6,750/sq. ft. and Rs 4,040/sq. ft., respectively.

 

In Hyderabad, despite witnessing a 41% average price increase for luxury properties, the city’s current avg. price in this category joins Kolkata’s to be among the lowest in the top 7 cities at Rs 14,200/sq. ft. in 2025; in the mid segment, it is Rs 8,420/sq. ft. and in the affordable segment, Rs 5,235/sq. ft.