India's ultra-luxury home sales surge 247% in 2023, reach Rs 4,063 crore

The country's ultra-luxury home sales have witnessed an unparalleled surge in 2023, recording a 247 per cent year-on-year increase in sales value. The latest data from ANAROCK Research indicates that 58 ultra-luxury homes, priced above Rs 40 crore, have been sold across the top 7 cities, amassing a total sales value of approximately Rs 4,063 crore. This marks a contrast to the 13 homes sold in 2022, totalling Rs 1,170 crore.

Mumbai dominates

Mumbai emerged as the front-runner in this surge, accounting for 91 per cent of the total deals, with 53 ultra-luxury homes changing hands in the city. Delhi-NCR recorded 4 deals, including 2 ultra-luxury homes in Gurgaon and 2 bungalows in Delhi. Hyderabad saw one deal surpassing the Rs 40 crore mark.

At least 12 deals in 2023 surpassed the Rs 100 crore threshold, with Mumbai securing 10 such transactions and Delhi-NCR securing 2. Notably, Mumbai closed three deals with price tags exceeding Rs 200 crore. Business owners constituted 79 per cent of the buyers, with C-suite professionals accounting for 16 per cent of the deals. Politicians and Bollywood celebrities comprised the remaining 5 per cent.

"In terms of ultra-luxury property sales, 2023 has already made Indian real estate history even before it is over," said Anuj Puri, Chairperson, Anarock Group.

HNIs driving surge

The surge in demand for ultra-luxury properties has been attributed to High Net Worth Individuals (HNIs) and ultra-HNIs seeking investment opportunities and personal residences. The reshuffling of investment portfolios amid geopolitical tensions and anticipated stock market volatility has further fuelled this trend. Developers have responded by increasing the supply of ultra-luxury properties.

"Amongst wealthy Indians, there is a very distinct FOMO aspect to securing the most desirable options before someone else does," Puri added.