Sales of houses worth more than Rs.4 crore doubled

A report by real estate firm CBRE today said sales of luxury homes priced at Rs 4 crore and above in seven major cities of India have increased by 97 per cent year-on-year between January and September 2023. According to the report, 90 percent share in total luxury housing sales during this period has been from Delhi-NCR, Mumbai and Hyderabad. Delhi-NCR's share in sales was 37 percent, Mumbai's 35 percent and Hyderabad's 18 percent, the remaining 4 percent was from Pune.

Several factors drove the growth in luxury housing sales, including a strong economy, rising disposable incomes, aspirations for improved living standards, and a shortage of luxury residences in major metropolitan areas.

CBRE said that the festive season of October to December is expected to see further growth in luxury housing sales. The company said that it expects the number of first-time luxury home buyers to increase in the October-December quarter.

"The primary reason for this growth is rising aspirations and the growing Indian economy," CBRE told NDTV. "Incentives by developers and smart home technology such as smart switches and controlling lights and other things with a single click on the phone are driving this boom in luxury home ownership," CBRE told NDTV. There are a few reasons."

The premium and luxury housing segment will see growth in residential sales and new launches, potentially reaching a 10-year high in 2023, due to economic growth, favorable regulatory measures and changing lifestyle preferences, the CBRE report said .

That said, as buyers seek more spacious living post-pandemic, an influx of smart home technology and developer-backed incentives is fueling luxury home sales.

CBRE said this surge is driven by the growing appeal of luxury homes among high net worth individuals (HNIs) and non-resident Indians (NRIs), who are looking for safe and rewarding investment opportunities.