In 2024, India’s real estate market showed impressive growth, driven by evolving buyer preferences and market changes. The demand for luxury housing saw a notable increase, with a significant shift toward premium properties. This change reflects a broader trend in the sector, where buyers are looking for high-quality, well-designed homes that offer modern amenities. Real estate developers responded by focusing on incorporating advanced technologies and sustainable practices into their projects.
Additionally, the sector has embraced new technologies to enhance the home-buying experience. Virtual reality property tours have become more common, offering potential buyers a more immersive and convenient way to explore properties. AI-driven personalization has also played a role, helping to cater to the unique needs and preferences of buyers, making the process more customer-focused and transparent.
Industry Expert Opinions
Mr. Sarveshaa SB, Chairman & MD, BHADRA Group, said
“The year 2024 has been a remarkable one for India’s residential real estate sector. Achieving record-breaking sales of 2,60,349 units in the first nine months, a 9% increase from the previous year, the industry showcased its ability to evolve and thrive. From catering to the growing demand for luxury housing to adapting to changing market dynamics, the sector demonstrated resilience and innovation. The integration of technology, including virtual reality property tours and AI-driven personalization, has transformed the way homes are marketed and purchased, making processes more transparent and customer-focused”.
He added, “As we look ahead, the milestones of 2024 give us immense confidence for the future. With urbanisation gaining momentum and sustainability becoming a key priority, the real estate industry is well-positioned to redefine urban living. The surge in luxury housing sales, accounting for 46% of all sales in Q3 2024, indicates a shift in buyer preferences towards premium properties. By focusing on quality, innovation, and eco-conscious development, including the integration of smart home technologies and green building practices, this sector will continue to create meaningful value for communities and contribute to India’s growth story”.
Ms. Manju Yagnik, Vice Chairperson of Nahar Group and Senior Vice President of NAREDCO- Maharashtra said
“In 2024, India’s housing market demonstrated strong resilience, with the first three quarters seeing sales exceed Rs 110,000 crore with 115 million sq ft sold. The ultra-luxury segment, particularly properties priced between ₹10 crore and ₹80 crore, experienced notable growth. While the premium homes segment was fueled by accessibility-led urbanization and evolving consumer preferences. Further, the RBI’s decision to maintain the repo rate at 6.5% boosted the market confidence, sustaining residential demand across major cities. This positive momentum is set to continue, with rising consumer confidence and increased investments from both institutional and foreign investors. According to JLL, by year-end, Mumbai is on track to achieve record sales of over 300,000 homes worth Rs 510,000 crore across 485 million sq ft. Mumbai recorded a 6.7% increase in demand and a 5.3% rise in supply, leading to a 6.5% growth in property rates this year. Also, with a bright infrastructure future roadmap which will further enhance the property rates in established hubs and add to the network of connectivity of the peripheral micro markets, the real estate future in 2025 looks absolutely promising.”
Vaibhav Kathotia, Chief Operating Officer – Real Estate, Crest Ventures Limited said,
“As 2024 draws to a close, it is clear that the real estate sector in India has shown remarkable resilience in navigating a complex landscape shaped by global economic headwinds and shifting consumer preferences. This year has been pivotal in redefining what it means to create living and working spaces that are not only luxurious but also adaptable and future-proof.
One of the defining trends in 2024 was the rising emphasis on sustainability and smart infrastructure. Across both residential and commercial segments, we’ve seen a surge in demand for eco-friendly designs that prioritize energy efficiency and minimize environmental impact. Buyers today are more discerning, valuing properties that offer green certifications, sustainable materials, and innovative amenities designed for long-term living. This shift has been driven not just by regulatory changes but by a broader societal commitment to responsible development.”
“Another key transformation has been the way we work. The pandemic accelerated a shift towards hybrid work models, and in 2024, this trend continued to reshape commercial real estate. Co-working spaces and flexible office formats have become essential to meet the needs of businesses looking for agility and scalability. This shift has had a ripple effect across urban centers, driving demand for mixed-use developments that seamlessly integrate living, working, and leisure spaces. Cities like Mumbai, Bengaluru, and Gurugram have emerged as hubs for these dynamic environments, reflecting a broader trend of urban regeneration and smart city initiatives.”
“As we step into 2025, the outlook for the real estate sector is one of cautious optimism. While global economic uncertainty persists, there are positive signals, including expectations of interest rate cuts and a renewed focus on infrastructure investments. The government’s continued push for affordable housing and urban renewal projects will play a significant role in driving growth. At the same time, luxury real estate will continue to evolve, with a focus on bespoke experiences and state-of-the-art amenities tailored to the needs of an increasingly global clientele.”
“Technology will be a game-changer in 2025. The integration of AI, IoT, and data-driven insights into real estate planning and development will enhance efficiency and improve decision-making across the board. From smart buildings that optimize energy usage to digital platforms that streamline property transactions, innovation will be at the heart of the sector’s progress. For developers and investors alike, staying ahead of these trends will be crucial in delivering value and maintaining a competitive edge.”
“Ultimately, the success of real estate in 2025 will hinge on our ability to balance innovation with tradition, creating spaces that honor the past while embracing the future. As we continue to navigate an evolving landscape, the focus must remain on delivering projects that enhance community living, foster connectivity, and promote sustainability. It is an exciting time for the sector, and I am optimistic about the opportunities that lie ahead for all stakeholders committed to shaping India’s urban fabric.”
Way Forward
In 2024, India’s real estate sector experienced significant growth, driven by increasing demand for luxury and premium properties. Developers are focusing on advanced technologies and sustainable practices to meet evolving buyer preferences, with virtual reality tours and AI-driven personalization enhancing the home-buying experience. Looking ahead, experts are optimistic about continued growth, supported by urbanization, favorable policies, and rising investments, particularly in key markets like Mumbai. The sector is well-positioned to thrive in 2025 and beyond.
