Luxury housing (units priced at Rs 4 cr and above) in India has recorded a 10% YoY sales growth during the first quarter of 2024, while a ~64% YoY increase was witnessed in the new launches of luxury homes during this period, according to a recent CBRE report.

City-wise, Mumbai recorded the highest surge in unit sales during the review quarter, recording a 15% YoY increase in the luxury segment, which was followed by Delhi-NCR, Hyderabad, and Pune.

Several key trends have emerged in the luxury housing segment, shaping the preferences of today’s discerning homebuyers. Location, connectivity, and the developer’s reputation are among the key factors. However, of late, buyers are putting more emphasis on the aspirational aspects, and some of the prominent emerging trends include the following:

Well-Thought Grand Living Spaces: Homebuyers are increasingly drawn to spacious residences that offer ample room for both living and leisure. Luxury housing projects now focus on providing expansive living spaces characterized by thoughtful designs that prioritize comfort and elegance.

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Distinctive Architecture and Green Spaces: Distinctive architectural designs and abundant greenery have become defining features of luxury housing projects. Homebuyers seek residences that not only offer aesthetic appeal but also promote a sense of serenity and well-being through lush green landscapes and open spaces.

Wellness Amenities for a Healthy Lifestyle: The emphasis on health and well-being has led to the integration of wellness amenities within gated societies. From state-of-the-art fitness centres to spa facilities and yoga studios, developers are catering to the holistic lifestyle needs of residents.

High-End Modern Amenities: Luxury is synonymous with comfort and convenience, and today’s homebuyers expect nothing less. Luxury housing projects now boast of a range of high-end amenities, including smart home technology, concierge services, and 24/7 security, to enhance the living experience.

Sustainable and Smart Homes: Sustainability is no longer just a buzzword but a fundamental consideration in luxury housing. Developers are increasingly adopting sustainable building practices and incorporating energy-efficient features into their projects. Additionally, smart home technology is becoming ubiquitous, allowing residents to control various aspects of their home environment with ease.

Exclusivity and Privacy of Gated Communities: Gated communities offer a sense of exclusivity and security, making them highly desirable among luxury homebuyers. These communities provide a sanctuary away from the hustle and bustle of city life, allowing residents to enjoy privacy and tranquillity.

Talking about these trends, Manoj Gaur, President, CREDAI NCR, and CMD, Gaurs Group, says, “The concept of a home has evolved beyond a mere dwelling; it is now seen as a means to enhance one’s lifestyle, with the address serving as a style statement. At the same time, customers are content not just with the luxurious interiors but also expect a whole lot of high-end amenities and facilities such as clubs and a wide variety of gaming and recreational options inside the boundaries of the project since they foster community living.”

Lately, the luxury housing market has witnessed well-crafted projects.

Ashwani Kumar of Pyramid Infratech says, “Developers have responded to this growing demand by launching new properties that cater to the evolving tastes of the urban elite. From strategically-located ultra-luxury apartments to sprawling villas and farmhouses, the luxury housing segment offers a diverse range of options to suit varying preferences. Further, luxury homes with the potential for high ROI have also emerged as an investment instrument. Catering to the discerning preferences of homebuyers, we are launching a luxury housing project in sector 71, Gurugram. This residential offering is designed to provide a captivating experience of enhanced lifestyle.”

Highlighting the factor fuelling the demand of luxury homes, Rajjath Goel, Managing Director, MRG Group, says, “The surge in luxury housing can be attributed to a multitude of factors, including the need for larger homes in the post-pandemic era, favourable exchange rates attracting investments from NRIs, and the desire to lead a premium lifestyle. Furthermore, India’s robust economic growth and positive global market performance have bolstered purchasing power, particularly in metro cities, further fuelling the demand for luxury residences.”

With the Indian economy expected to perform well in the coming years, the luxury real estate segment is poised for continued growth and innovation, offering homebuyers not just a place to live but a lifestyle to aspire to.