Sales of luxury homes costing Rs 10 crore and above in Mumbai rose nearly 50% to Rs 11,400 crore during January- June period of 2023, coinciding with a boom in residential property sales overall, showed a joint report by India Sotheby’s International Realty and CRE Matrix. Of this, the primary sales activity recorded an 83% year-on-year rise at Rs 8,817 crore. Mumbai’s luxury housing market has been steadily rising for the last three years, in line with the buoyancy in the country’s residential real estate.

"This signifies that real estate has made a meaningful come-back into the UHNI portfolios. With wealth creation in India growing at a fast pace, and the country’s wealthiest city Mumbai set to enter the list of top 20 cities with the most number of millionaires by 2023, we believe there’s an inherent strength in Mumbai’s luxury housing market which should continue in the future," said Amit Goyal, MD, India Sotheby’s International Realty.

The sharp increase at the top end of the market coincides with a boom in residential property sales overall and is indicative of the return of confidence in India’s residential real estate since 2021.

“Mumbai city has been witnessing around Rs 5,300 crore of luxury housing sales every half year, since 2018. In the first half of 2023, luxury Housing sales more than doubled to 11,400 crores, surpassing even the annual sales of 2018- 2020. Indians are getting richer and they are not shying from flaunting their wealth,” said Abhishek Kiran Gupta, CEO & Founder CRE Matrix.

The report also noted that the ultra-luxury segment with price tag of Rs 40 crore to Rs 70 crore witnessed a 64% growth with 64 units sold in primary market in the last 18 months in Mumbai as against 39 units in the preceding 18-month period.

While Worli contributed 31% to luxury sales of top 10 localities, it wasMalabar Hill, at Rs 1,580 crore, that recorded the highest on-year increase of 481% in value of luxury homes sold during this period.

In Mumbai's secondary market, 145 units were sold for Rs 2,583 crore during the first half of 2023 as compared to 152 units valued at Rs 2,844 crore in the 2021 calendar year.

Source: economictimes.indiatimes.com