India’s real estate market has long been defined by demand for cosy spaces and independent houses that are both affordable and comfortable. Later, urbanisation fuelled the shift towards apartments with better amenities. Now, it is undergoing a resurgence again: With rapid economic development, the return of NRIs, increasing incomes among middle income Indians, and rising aspirations among millennials, the market is shifting from humble spaces to luxurious apartments with smart facilities and curated lifestyle experiences that rival global standards.
A joint report published by CBRE and ASSOCHAM titled “The New Paradigm in Indian Housing", revealed a record 85% year-on-year (YoY) surge in sales of luxurious housing in the first half of 2025 alone. Moving beyond the lavish neighbourhoods of South Delhi and South Mumbai, the new wave of transformation is reshaping the metro’s outskirts and Tier-2 regions with thoughtfully planned infrastructure.
Delhi/NCR: Always in Demand
While South Delhi, Jor Bagh and Greater Kailash have always been the preferred address for old-money buyers, younger buyers are exploring the wider NCR. The extension of the national capital region, such as Golf Course Extension Road, Gurugram, and Vaishali-Ghaziabad, is becoming a hotspot for the development of luxury residential spaces and branded villas. These areas offer the same charm and connectivity of living in the capital, but with more personal space and better amenities tailored to a contemporary lifestyle.
Mumbai: The maximum city shines bright
The glitz and glamour of the city of dreams continue to draw the attention of homebuyers to Mumbai’s evolving residential landscape. The city has always been the favourite destination of buyers and investors, but the rising land costs and saturation are pushing home developers to explore the fringes of the city. Areas such as the Powai–Vikhroli Belt, Worli–Lower Parel Stretch, and Chembur–Wadala Corridor, which are both closer to business hubs and provide green and scenic views, have become magnets for luxury developments.
Bengaluru: Growth fuelled by innovation
The demand for luxury spaces in Bengaluru is driven by the rising start-ups and technology sectors. Far from the heart of central Bengaluru, areas such as Hebbal and Yelahanka have become the focus of the luxury residential market. Away from the hustle and bustle of the busy city, these locations are close to the international airport and offer a scenic view of lakes and parks, preferred by those seeking some privacy and peace.
Pune: The rising IT wealth
As a fast-growing IT hub, Pune is also attracting luxury seekers eager to experience the sophisticated charm and exclusive living spaces. Emerging luxury residential pockets such as Kharadi and Baner are now home to plush gated communities, sky villas, and resort-style living spaces. It is a space where innovation meets indulgence, offering a lifestyle that balances luxury and opportunity for discerning buyers.
Hyderabad: Renewed charm in the historic city
The historic city of Hyderabad is getting new structural marvels that seamlessly blend innovation and elegance to redefine luxury living. For home buyers seeking modern infrastructure, seamless connectivity, and upscale community living, areas such as Kokapet, Tellapur, Narsingi, and the Financial District are emerging as top choices. The developing high-rise apartments, luxury villas, and gated communities are in high demand among NRIs and professionals with high disposable incomes.
Goa: A favourite destination for a second home
The tropical climate, vibrant beaches and scenic views make Goa a perfect destination for buying a luxurious holiday home. The influx of wellness retreats, co-working spaces, and cafes further enhances its appeal. Areas like Assagao, Siolim, Dabolim and Margao are witnessing a steady rise in premium residential projects.
Going by the various published reports, the transformation is expected to gain momentum in Tier 2 and Tier 3 cities, such as Ludhiana, Lucknow, Ahmedabad and others, where ample land is available for upscale development. These emerging hubs will see the rise of luxurious apartments and penthouses designed with modern amenities, smart technology integration, and a strong emphasis on sustainability.
