Luxury Homes Made Up 46% Of Residential Sales In Past Six Months: Knight Frank

From Mumbai’s glittering sea-view apartments to Bengaluru’s tech-driven luxury pads and Delhi-NCR’s expensive-gated communities, the appetite for homes priced above Rs 1 crore is surging.

These high-ticket properties accounted for nearly 46% of total residential sales in the second half of calendar year 2024, according to a report released by real estate consultancy group Knight Frank India.

The sale of more premium properties, priced in the range of Rs 2-5 crore, witnessed a sharp 62% year-on-year growth during the same period, it added.

The Knight Frank report reveals an intriguing shift in urban real estate trends, where sprawling penthouses and sleek office space sales are booming while affordable housing has taken a step back.

Sales in homes priced under Rs 50 lakh dipped across major markets, with developers prioritising high-margin premium projects instead, the report showed. This segment now accounts for a shrinking share of inventory, even as mid-to-high-range homes steal the spotlight.

Cumulatively, 350,612 units—including premium and affordable houses—were sold in India's eight major cities in 2024, marking a 7% increased as compared to the previous year, as per the report. In H2 2024, the housing sales stood at 177,371 units, marking a 3% increase as against the year-ago period, it added.

Meanwhile, the office space segment in metros has logged significant growth, with Bengaluru, Mumbai, and Delhi-NCR leading the pack. Together, they gobbled up 57% of India’s total office space transactions in 2024, the report said.

Among major cities, Mumbai clocked its highest residential sales in 13 years in 2024, while Bengaluru saw a remarkable uptick in homes priced between Rs 2-5 crore, according to Knight Frank. Hyderabad and Pune, too, hit record sales highs, cementing their status as hotbeds for both residential and office markets, it added.

Ahmedabad and Chennai have also shown strong momentum. Ahmedabad recorded its highest-ever residential sales volume in 2024, driven by demand for premium housing and strategic infrastructure expansion, the report pointed out. Meanwhile, Chennai saw a steady rise in both residential and office space demand, supported by infrastructure projects and growing interest from tech and manufacturing sectors, it added.