India's high-end real estate sector is set to witness impressive growth in 2024, with residential properties priced above Rs 4 crore seeing significant growth. According to a report by CBRE, a leading real estate consultancy firm, sales in this region have increased by 37.8% year-on-year from January to September 2024. 12,625 luxury units were sold during this period, which was more than 9,160 units in the same period last year. Delhi-NCR, Mumbai and Hyderabad were the major contributors to this growth, accounting for almost 90% of the total sales of the top seven cities.
Delhi-NCR led luxury sales during this period with sales of 5,855 units, a growth of 72% year-on-year. 3,820 units were sold in Mumbai, which indicates a growth of 18%. Pune also achieved significant growth with sales of 810 units. The major reason behind the increasing demand for Alishan residential properties is the growing preference of affluent buyers towards better amenities and larger living spaces to suit the lifestyle. Apart from this, the increasing number of NRIs (Non-Resident Indians) and domestic investors have also boosted the demand for this segment.
Anshuman, Chairman and CEO, CBRE, said that following the strong performance in the first half of 2024 and the surge during the festive season, we expect both sales and new launches this year to cross 300,000 units for the second consecutive year. However, there are some challenges also. Market experts believe that factors like unsold inventory, project quality and access to infrastructure can impact property demand. Nevertheless, demand is expected to remain in the high-end and premium segments.
According to Sunil Pareek, Executive Director, Assetz Property Group, the Indian real estate market has witnessed a major transformation in the luxury and ultra-luxury housing segment in the last 2-3 years. Where earlier affordable housing was the key, now luxury housing is becoming the key driver.
Vijay Chugani, founder of Bengaluru-based ZenXChugs, said the ready-to-move-in luxury properties have been completely sold out, reflecting the growing demand for premium, hassle-free living options among buyers. High-net-worth individuals are now looking for homes that not only provide comfort, but are also a statement of their lifestyle.
