Luxury housing sales across seven major Indian cities have witnessed a significant uptick, marking a 10 per cent year-on-year growth in the January-March 2024 period, as highlighted by a recent report from CBRE South Asia. This surge is prominently led by Mumbai, which has seen a remarkable rise in luxury real estate transactions.
Over the past 12 months, Mumbai’s luxury real estate prices have surged by 11.5 per cent, positioning the city third globally, trailing only behind Manila and Tokyo in Knight Frank’s Prime Global Cities Index. This index ranks cities based on annual realty price changes, underlining Mumbai’s growing prominence on the global luxury real estate stage. The burgeoning demand for high-end residential properties in Mumbai is attributed to a wave of substantial deals involving high-net-worth individuals (HNIs) and investors. According to an official from CBRE, “Mumbai’s luxury real estate market is experiencing a surge in demand, driven by a wave of big-ticket deals. HNIs and investors are flocking to acquire prime properties, underscoring the growing allure of ultra-luxury living in the city. This trend is reflected in projects across Mumbai, including new developments like Palais Royale.”
The report underscores a robust demand for high-end residential properties, driven by factors such as increased disposable income, changing lifestyle preferences, and the quest for larger living spaces post-pandemic. This growth trajectory has been observed not only in Mumbai but also in other major cities including Delhi-NCR, Bengaluru, Hyderabad, Chennai, Pune, and Kolkata. The luxury housing market’s dynamism is further accentuated by the preference for ultra-luxury living, which has attracted notable investors and HNIs to Mumbai. “High-net-worth individuals and investors are coming to the city to secure prime properties, driven by a preference for ultra-luxury living. Projects, including Palais Royale, across Mumbai are seeing heightened interest,” noted prominent investors.
The city’s appeal is bolstered by its strategic developments and the influx of new luxury projects, which continue to attract affluent buyers. This trend is reflective of the broader national pattern where luxury housing sales have risen due to the enhanced financial capabilities of buyers and the shift towards more expansive living spaces in the post-pandemic era. As the luxury real estate market continues to flourish, Mumbai stands out as a prime destination for high-end property investments. The city’s robust growth in this sector underscores its enduring allure and its significant role in shaping the landscape of luxury housing in India. The ongoing demand for premium properties is expected to sustain this upward trajectory, making Mumbai a focal point for luxury real estate in the country.
