Mumbai continues to dominate India’s luxury housing market, commanding prices far ahead of other major cities and reinforcing its position as the country’s most influential premium real estate destination. According to the Magicbricks India Luxury Housing Market Report 2025, the city’s median quoted luxury home price has reached ₹9.66 crore, nearly double that of Gurugram and more than three times Bengaluru’s, underlining Mumbai’s unmatched pricing power and depth of demand.
While luxury housing markets across Tier-1 cities are entering a phase of maturity, Mumbai stands apart due to its scale, resilience and ability to sustain high-ticket demand across multiple micro-markets. Even as other metros record growing premium shares, Mumbai continues to lead in absolute pricing and maintains the deepest pool of luxury homebuyers in the country.
The report highlights that Mumbai’s median luxury price of ₹9.66 crore is significantly higher than Gurugram’s ₹5.46 crore and Bengaluru’s ₹2.91 crore. Hyderabad follows at ₹2.20 crore, while Chennai and Pune remain close to the ₹2 crore mark. This sharp gap reflects not just higher base prices, but also Mumbai’s unique economic structure, wealth concentration and long-standing preference for centrally located, well-connected luxury living.
Magicbricks’ Luxury Price Index (LPI) further reinforces Mumbai’s leadership. While the LPI for Tier-1 cities has moderated slightly from 2.32 in 2021 to 2.27 in 2025, Mumbai’s luxury coefficient has risen to 3.72 from 3.32 last year. This indicates that even as mainstream housing prices rise and premiumisation spreads across cities, Mumbai continues to command a much stronger luxury premium than its peers.
Demand in Mumbai’s luxury segment remains concentrated in established high-value neighbourhoods such as South Mumbai, Worli–Lower Parel and Bandra West. These areas continue to attract affluent end-users, CXOs, NRIs and investor-led buyers who prioritise location, legacy value and long-term capital stability. User searches in the ₹5–10 crore and ₹10 crore-plus segments have increased sharply, pointing to sustained appetite at the top end of the market.
This rise in demand has been matched by a steady expansion in supply. Developers are launching larger homes, amenity-rich gated developments and integrated lifestyle projects that cater to evolving buyer expectations. Luxury today is no longer defined only by size or location, but by design sophistication, concierge-led services, sustainability features and curated community experiences.
While several emerging luxury markets across India, including Noida Expressway, Devanahalli in Bengaluru, Ballygunge in Kolkata and Porvorim in Goa, are gaining traction, Mumbai’s luxury market remains distinct in its maturity and breadth. The city’s average home prices have risen steadily over the years, narrowing the ratio between luxury and mainstream housing. However, the absolute value gap between the two segments continues to widen, reinforcing Mumbai’s premium positioning.
Commenting on the trend, Prasun Kumar, CMO of Magicbricks, said that Mumbai’s luxury market reflects the city’s dense wealth concentration and finance-led professional growth. As premiumisation sweeps through mainstream housing, Mumbai’s luxury homes continue to stand out due to their central locations, strong infrastructure and aspirational value.
Developers active in South Mumbai echo this sentiment. Sumit Sapru, CEO of SPRE, noted that neighbourhoods such as Tardeo, Gamdevi and areas near Marine Drive continue to hold benchmark status due to irreplaceable land economics and a mature buyer base. Demand in these locations remains largely end-user driven, supported by buyers who value established social infrastructure, connectivity and long-term value preservation.
As India’s luxury housing market evolves, Mumbai remains the reference point. Its ability to sustain high prices, attract discerning buyers and adapt to changing definitions of luxury ensures that the city continues to set the pace for premium residential real estate in the country.
