 "HNI, NRI demand drives 85% growth in luxury housing sales in H1 2025")
Sales of luxury houses -- those priced ₹4 crore and above -- shot up by 85 per cent on year to over 7,000 units in top seven cities during the first half of the ongoing calendar year, with Delhi NCR leading the charge and contributing around 57 per cent of total sales.
This rise, during January to June period of 2025 (H12025), was fuelled by demand from high net worth individuals (HNIs) and also by non-resident Indians (NRIs) who have been seeking asset stability in times of global uncertainty, according to a joint report by CBRE and Assocham.
Among cities, Delhi NCR led the luxury market, contributing around 57 per cent of total sales at around 4,000 units, followed by Mumbai at 1,240 units.
Traditionally mid-end dominated markets such as Chennai and Pune cumulatively recorded around 5 per cent of the overall luxury sales during H1 2025.
This period also witnessed the launch of 7,300 luxury units, a 30 per cent Y-o-Y increase from the same period last year. Of these, Delhi NCR, Mumbai, and Hyderabad registered the highest number of launches in H1 2025, cumulatively accounting for over 90 per cent of the total luxury unit launches.
Commenting on the reasons, Gaurav Kumar, managing director, Capital Markets and Land, at CBRE India said that while macroeconomic fundamentals remain strong, the standout growth of luxury and premium housing indicates rising consumer confidence and lifestyle aspirations.
“Developer focus has realigned toward quality, transparency, and experience, all of which are key to unlocking the sector’s next wave of growth,” he added.
Industry experts are expecting the market to continue performing the same way in the second half of the year.
The report adds that rapid urbanisation, favourable demographic dividend, urban migration trends and rising disposable household income will drive the steady sales figures for the residential market.
“Improving market sentiment, shifting consumer preferences driven by greater exposure to world-class developments, and a renewed willingness among homebuyers to invest in property, the coming months could very well pave the way for sustained growth, heightened activity, and fresh opportunities across the housing market,” said Jash Panchamia, executive director at Jaypee Infratech.
The report, however, also called for the need for reforms in streamlining approvals, improving project execution and bolster buyer confidence. This includes expanding Pradhan Mantri Awas Yojana (PMAY) benefits and interest subvention schemes for first-time buyers, along with ensuring uniform implementation of Rera and stricter penalties for non-compliance.
Manish Singhal, secretary general, Assocham added that the housing boom, coupled with policy evolution, highlights the need for reforms that ease approvals, redefine affordable housing in urban India, and incentivise sustainable development.