Authored by – Ashwani Kumar, Pyramid Infratech
In 2024, India’s housing market took a giant leap. The action was much more prominent in the luxury housing segment. Not only did it witness remarkable growth, but it turned into the flavour of the year in most of the prominent cities.
As a downside, affordable housing took a major hit in the country’s top seven cities. Much of it was due to the growing preference for larger homes, rapid infrastructural development, a rise in the country’s economic prominence, an increase in the number of wealthy individuals, and real estate projects that combined functionality while satisfying aspirational lifestyles.
Here’s a closer look at the major trends that not only defined India’s housing growth story in 2024 but also led Delhi NCR among the top contenders in the country:
Infrastructure Boosts Housing Demand
Infrastructure development has been a key driver of housing demand all over India. Major projects like the SPR corridor, Dwarka Expressway, DMIC, and Jewar Airport in Noida put a global focus on NCR and attracted both domestic buyers and investors. Other projects, such as the expanding metro network, and high-speed rail connectivity, further boosted housing projects.
Property Values See Strong Gains
The luxury housing sector witnessed substantial price appreciation, particularly in NCR. There was a high demand for homes priced between Rs. 10 crore and Rs. 80 crore. Rs. 3 crore plus properties were lapped up by the buyers, both end-users and investors. As demand soared, property values also massively increased, and the limited supply further intensified the trend. This growth is a testament to the resilience of high-end real estate, which continues to thrive despite broader economic challenges.
Growth of Mixed-Use Developments
Mixed-use developments emerged as a prominent trend. Offering a seamless blend of residential, commercial, and recreational spaces. These developments cater to the needs of urban professionals and modern families, making them even more attractive as investment options.
NRIs Fuel Luxury Housing Growth
Non-resident Indians (NRIs) have emerged as key players in India’s luxury housing market, viewing these properties not only as symbols of prestige but also as strategic investments. Their growing involvement, particularly in metro and tier-2 cities, has added momentum to the sector, further boosting demand for high-end properties.
Popularity of Branded Residences
Branded residences continued to gain traction in 2024, with high-profile developers offering exclusivity, world-class amenities, and iconic designs. These residences cater to the aspirations of high-net-worth individuals (HNIs) and ultra-high-net-worth individuals (UHNIs), serving as both luxury homes and lifestyle statements.
New Micro-Markets Gaining Traction
The luxury housing market’s reach extended beyond the central hub of metro cities, with developing corridors witnessing a surge in high-end developments. This shift reflects the broader expansion of India’s real estate sector, fueled by urbanisation, rising incomes, and improving connectivity infrastructure, as developers tap into new opportunities in these emerging markets.
Emphasis on Sustainability and Smart Homes
Sustainability and technological integration have become central themes in luxury housing. Homebuyers are increasingly prioritising eco-friendly designs and smart home features that enhance convenience while minimising environmental impact. This trend reflects global movements toward sustainable living and positions Indian developers as forward-thinking leaders in this space.
The housing market in 2024 stands as a testament to resilience, growth, and innovation. From infrastructure-driven demand to the rise of tier-2 cities, the year’s trends illustrate a dynamic real estate landscape that continues to adapt to the needs of modern buyers. As India’s real evolves, these developments will further propel the growth of India’s housing segment.