Demand skyrockets for ultra-luxury homes worth at least ₹40 crore: Anarock report

The report also noted that at least four ultra-luxury home deals worth more than ₹40 crore each were closed in Delhi-NCR — two apartments in Gurugram and two bungalows in New Delhi. At least two homes in Delhi-NCR were sold for more than ₹100 crore each. Hyderabad too saw one residential deal worth more than ₹40 crore in the upmarket Jubilee Hills area.

As per the report, apartments were the preferred choice of property for high-networth individuals (HNIs) — of the 58 deals, 53 were for apartments and the remainder for bungalows. Businessmen purchased at least 79% of the homes, while 16% deals were closed by senior professionals across sectors. Politicians and Bollywood celebrities accounted for the report,  noted.

“The 58 ultra-luxury homes have been sold  ... for a collective approximate value of ₹4,063 crore. In contrast, just 13 such homes were sold during 2022, for a total value of around ₹1,170 crore," Anuj Puri, Chairman, Anarock Group, said.

Elaborating on this newfound appetite for trophy homes, Puri said, “Demand for both luxury and ultra-luxury properties has surged since the pandemic, with HNIs and ultra-HNIs buying such homes for investment, personal use, or both."

Puri surmised that this upsurge in demand could also be traced to the reshuffling of HNI investment portfolios amid anticipated volatility in the stock market due to geopolitical tensions. "Not surprisingly, leading Grade A developers have also been scaling up their new supply in the ultra-luxury category. Among wealthy Indians, there is a very distinct FOMO (fear of missing out) aspect to securing the most desirable options," he added.

The report says that the COVID-19 pandemic unleashed a storm of demand storm for luxury and ultra-luxury homes. A read of collective data from 2022 and 2023 shows that ultra-luxury residential deals worth roughly ₹5,233 crore were closed in India's top seven cities.