40% Jump in Luxury Home Prices Across Top 7 Cities in 3 Years: How Your City Compares
Luxury housing across India’s top seven cities has seen a sharp rise over the last three
years. Prices in this segment have surged about 40 percent since 2022, far ahead of the
growth seen in affordable homes. Research from ANAROCK shows that high-end properties
continue to attract buyers who want larger homes, better amenities, and prime locations.
This shift has reshaped the real estate landscape, especially in cities like Delhi NCR,
Mumbai, and Bengaluru.
Why Luxury Home Prices Are Rising Faster
The increase in luxury housing prices is tied to rising incomes, lifestyle upgrades, and
demand for spacious homes. Buyers now look for premium communities with features like
clubhouses, smart home technology, landscaped parks, and wellness facilities. Developers
have also broadened their luxury offerings, adding more high-end supply to the market.
Homes priced above Rs 1.5 crore have become the fastest-growing segment, rising from an
average of Rs 14,530 per sq. ft. in 2022 to Rs 20,300 per sq. ft. in 2025.
Delhi NCR Takes the Lead With a 72 Percent Surge
Delhi NCR has recorded the strongest rise across all categories. Luxury home prices jumped
from Rs 13,450 per sq. ft. in 2022 to Rs 23,100 per sq. ft. in 2025, a dramatic 72 percent
increase. The region also posted strong growth in mid-range and affordable housing. New
expressways, metro expansions, and expanding business districts in Noida and Gurugram
have pushed demand higher. High-end projects continue to draw both end-users and long-
term investors.
MMR Records India’s Highest Property Prices
The Mumbai Metropolitan Region remains the most expensive housing market in India.
Luxury homes now average Rs 40,200 per sq. ft., the highest among the top seven cities.
Mid-range homes are priced around Rs 16,400 per sq. ft., while affordable homes cost about
Rs 6,450 per sq. ft. The region saw a 43 percent rise in luxury pricing over the past three
years. Limited land availability and steady demand for premium launches continue to keep
prices elevated.
Bengaluru Shows Impressive Growth Across Categories
Bengaluru’s thriving IT sector and strong job market continue to support its housing demand.
Luxury properties have climbed 42 percent, reaching Rs 16,700 per sq. ft. Mid-range homes
stand at Rs 9,140 per sq. ft., while affordable homes average Rs 5,450 per sq. ft. The mid-
range category grew the fastest nationwide at 62 percent, reflecting rising demand among
working professionals who prefer well-connected and well-designed neighborhoods.
Chennai Maintains Balanced and Steady Price Growth
Chennai has shown steady performance with consistent appreciation. Luxury homes
average Rs 18,500 per sq. ft., mid-range properties sit at Rs 7,450 per sq. ft., and affordable
homes cost around Rs 4,865 per sq. ft. Demand remains strong in corridors like ECR and
OMR, where infrastructure development and employment opportunities continue to rise.
Pune Remains a Strong Market for End-Users and NRIs
Pune continues to grow thanks to its tech parks, universities, and improving connectivity.
Luxury homes now cost around Rs 15,200 per sq. ft., mid-range homes average Rs 8,850
per sq. ft., and affordable homes stand at Rs 5,850 per sq. ft. The city’s growing professional
population and NRI interest help maintain steady demand across all categories.
Kolkata and Hyderabad Stay Competitive With Lower Prices
Kolkata remains one of the most affordable metro markets. Luxury homes average Rs
14,200 per sq. ft., mid-range homes cost around Rs 6,750, and affordable homes are priced
at Rs 4,040. Hyderabad also offers strong value, with luxury homes at Rs 14,200 per sq. ft.,
mid-range at Rs 8,420, and affordable homes at Rs 5,235. The city saw a 35 percent rise in
budget homes, driven by its expanding tech sector and business-friendly environment.
Why Buyers and Investors Are Eyeing the Luxury Segment
Luxury housing continues to gain momentum because wealthier buyers prefer larger homes
and premium amenities. Many are choosing to upgrade from mid-range properties.
Developers are also investing heavily in branded residences and high-end gated
communities. Nearly 30 percent of all homes sold in the top cities in the first nine months of
2025 were luxury units, a major shift compared to previous years.
Conclusion
India’s luxury housing market has seen significant growth over the past three years, with
Delhi NCR, MMR, and Bengaluru leading the way. Prices have risen quickly due to lifestyle
changes, higher purchasing power, and strong demand for premium living spaces.
Affordable housing continues to grow at a slower pace, while mid-range homes show steady
appreciation. Whether you are buying for personal use or investment, understanding how
each city is evolving can help you make better decisions and secure long-term value.
Helpful Resource: NRIs looking to purchase property in India can simplify paperwork such
as power of attorney, legal verification, and essential certificates through NRIWAY, which
helps streamline cross-border documentation.
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