Luxury home sales in Mumbai increased by almost 50 per cent to Rs 11,400 crore in the first half of 2023, the India Sotheby's International Realty and data analytic firm CRE Matrix said in a joint report on July 24.
The fresh luxury house sales, costing above Rs 10 crore per unit, alone saw a record 83 per cent surge, reaching Rs 8,817 crore in the first half of 2023 compared to Rs 4,816 crore in the same period last year. The secondary market also saw the sale of 145 units for Rs 2,583 crore, taking total sales to Rs 11,400 crore.
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Also, the ‘Ultra-Luxury’ segment, with prices ranging from Rs 40 to 70 crore, experienced substantial growth, with 64 units sold in the last 18 months, surpassing (39 units sales) in the preceding 18-month period. However, the Rs 10–20 crore segment continues to dominate the luxury market with approximately 71 per cent of total sales, according to the data.
According to the report, titled “India Sotheby’s International Realty and CRE Matrix”, among those who bought homes in the first half of 2023 include the Radhakrishnan Damani Family, which bought a house worth Rs 1,238 crore in Worli, JP Taparia Family bought a house in Malabar Hill for Rs 310 crore and Alia Bhat purchased a property in Bandra for Rs 37.8 crore.
Amit Goyal, the MD of India Sotheby’s International Realty, attributed the steady rise of luxury housing market in the last three years to India's growing wealth and the city's increasing number of millionaires.
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Abhishek Kiran Gupta, CEO and Founder of CRE Matrix and Index Tap, noted that luxury housing sales in H1 CY'23 more than doubled to Rs 11,400 crore, outperforming even annual sales from 2018 to 2020.
“The sharp increase at the top end of the market coincides with a boom in residential property sales overall and it is noteworthy that this momentum continues even as interest rates have risen by several percentage points,” the report noted.
Luxury Home Sales In Volume
In terms of volume, luxury housing sales in Mumbai reached 533 units during H1 2023, up from 419 units in H1 2022. The top luxury micro-markets in the city include Worli, Malabar Hill, Mumbai Central, Lower Parel, Prabhadevi, Bandra West, Tardeo, Mahalakshmi, Andheri West, and Santacruz West. Goregaon and Powai are also emerging as preferred localities in this segment.
Worli alone contributed 31 per cent to luxury sales of top 10 localities, the report said. Malabar Hill saw the highest increase (481 per cent) in the value of luxury homes sold in H1 CY'23 compared to H1 CY'22. Notably 35 per cent buyers in Mumbai’s primary luxury market belonged to the 25-45 age category.
