Luxury homes, priced above Rs 1.5 crore, saw the highest average price appreciation across three different categories between 2022 and 2025, said real estate consultant Anarock on Wednesday.
At 72%, the National Capital Region (NCR) recorded the highest average luxury home price appreciation -- from Rs 13,450 per sq. ft. in 2022 to Rs 23,100 per sq. ft. today. MMR & Bengaluru have seen a 43% & 42% average price rise respectively for homes priced at Rs 1.5 crore in this period. On average, luxury homes appreciated 40% across the top seven cities since 2022.
Affordable homes (priced below Rs 40 lakh) saw just 26% average price appreciation. Again, NCR saw the highest price growth of 48% in the period. Average price of mid & premium segment homes (Rs 40 lakh to Rs 1.5 crore) saw 39% appreciation, with Bengaluru notching up the highest rise of 62%.
"Prices of these homes in the top seven cities in 2022 averaged out at approximately INR 14,530 per sq. ft.," says Anuj Puri, Chairman, Anarock Group. "At this point in 2025, they have risen to approx. Rs 20,300 per sq. ft. In these cities, Delhi-NCR's luxury segment saw the highest jump of 72% in three years – from approx. Rs 13,450/sq. ft. in 2022 to approx. Rs 23,100/sq. ft as on date in 2025. At 43%, MMR came in second highest in this budget segment, followed closely by Bengaluru with a 42% increase."
In Mumbai Metropolitan Region (MMR), the average price in the Rs 1.5 crore category back in 2022 was Rs 28,044/sq. ft. and now it is Rs 40,200/sq. ft. In Bengaluru, the average price of luxury homes in 2022 stood at Rs 11,760/sq. ft. – as on date, it has risen to Rs 16,700/sq. ft. The average price in the affordable homes category across the top seven cities grew from Rs 4,220/sq. ft. in 2022 to Rs 5,299/sq. ft.
“Demand for luxury homes continues to outpace that in other segments because of the consistent appetite for bigger homes by branded developers in superior locations," said Puri. "Our data finds that of the total sales of approx. 2.87 lakh units in the top 7 cities in 9M 2025, nearly 30% was in the luxury segment. This is particularly remarkable as home prices have surged nationwide due to increased input costs and strong demand in the last few years."
As per Anarock, the current trend indicates that the luxury segment's growth trajectory is eminently sustainable, since it is driven by India's ever-increasing number of HNIs and ultra-HNISs.