2025: A Year of Promise for Indian Real Estate

The Indian real estate market continues its robust growth trajectory into 2025, driven by an upswing in the luxury segment and emerging micro-markets. Peripheral city areas experience significant price appreciation, while favorable economic conditions and anticipated interest rate cuts make homeownership more accessible and stimulate demand across market segments.

In 2024, the Indian real estate market experienced remarkable growth, particularly in the luxury segment, according to industry reports. High-net-worth individuals and non-resident Indians played a pivotal role in boosting demand and sales across India's top seven cities, with housing sales peaking during January to September.

This vibrant momentum has extended into 2025, buoyed by strong economic fundamentals and favorable policy frameworks. The luxury housing sector remains robust, fueled by premiumisation trends and growth in peripheral metro city markets. These peripheral zones have consistently outperformed prime city locations, showing remarkable price appreciation over the past six years.

Amidst dynamic market shifts, experts anticipate further growth as developers and investors seize opportunities in a vibrant landscape, characterized by both high-end and more affordable housing. The industry expects increased demand due to projected interest rate cuts, making homeownership more accessible and stimulating broader economic benefits.

(With inputs from agencies.)