Thriving India's Luxury Real Estate Market

India's luxury real estate market has seen a notable boom. New Delhi has just emerged as the prime spot for high-end home buyers. The latest Prime Global Cities Index report declares that Delhi got the sixth position in the global index for the luxury real estate market. Its prime housing prices have increased by 6.7% in the last quarter of 2024.

The luxury projects price growth is mainly due to strong demand from wealthy buyers. These buyers often seek ultra-urban features. It also depends on the overall economic strength of the country. In fact, India's GDP growth rate has shown a steady increase. This definite growth makes it attractive to invest in lavish real estate projects.

Mumbai is best known for its lavish real estate. And it has ranked seventh in this Index Report. Its luxury home prices have increased by 6.1% year-on-year. Silicon City's prime house piece has seen a 4.1% annual increase. Bangalore has moved from 27th to 13th place in the Prime Global Report.

Seoul topped the list with an 18.4% increase in average luxury home prices. Cities like Manila, Dubai, Tokyo, and Nairobi follow it. The Prime Global Cities Index was conducted across 44 cities in the world. The overall report shows an average 3.2% increase in prices. Out of which 34 cities showed positive growth in the luxury home projects.

Experts predict that interest rate cuts in 2025 will pave ways to further price increase in the luxury real estate market. MD of Knight Frank India analysed the sharp increase in prime property prices. He also suggests the increase is due to its strong demand for luxury houses.

India's luxury real estate market is expected to grow rapidly in 2025. It will be driven by increased demand from high net-worth to ultra-high. The demand for lavish and ultra-lavish houses grew rapidly in 2024, notably in Mumbai(MMR) and Delhi(NCR).

Luxury property prices in India are expected to rise by 6.5% in 2025. The rise will be due to the high demand from affluent buyers. The rise of smart homes is expected to drive the luxury real estate market. About 12.84% of smart homes are expected to be in use by 2025.

Moreover, the Indian real estate sector is projected to expand to $5.8 trillion by 2047. It might grant an increase in its GDP from 7.3% to 15.5%. The state's initiatives, such as tax reforms and affordable housing policies, are expected to boost demand in the luxury real estate market.

Metros like Mumbai, Delhi, and Bangalore are expected to see moderate single-digit price increases in 2025. Tier-II and Tier-III cities may also witness increased demand and gradual price growth. Overall, India's luxury real estate market has notable growth, driven by strong demand and financial stability.

Prestige Group Prelaunch Project is Prestige Southern star