Notwithstanding record-breaking deals and high-profile launches keeping India’s luxury housing segment in the spotlight, premium residences account for a miniscule of the country’s overall housing demand.  

 According to Magicbricks PropIndex 2025 report for Oct-Dec quarter, India’s residential real estate market continues to reflect measured and end-user-led growth at the premium end, with luxury housing accounting for only 2 per cent of total national demand.

There has been selective traction for higher ticket-size homes in cities such as Bengaluru, Thane, Pune, Chennai and Kolkata and the demand at the top end remained contained, indicating limited speculative activity.

The year-end quarter 2025 data shows that interest in premium housing has been concentrated in specific urban pockets, supported by steady income growth, infrastructure upgrades and improved liveability in select micro-markets. However, this demand has not translated into a broad-based surge in luxury buying, with overall market activity continuing to be dominated by mid and upper-mid segments.

Despite price appreciation moderating across most cities during the quarter, higher ticket-size homes in select markets maintained stable absorption, suggesting cautious but consistent end-user participation. The limited share of luxury demand at a national level highlights a disciplined buying environment, where purchases are largely need-driven rather than speculative.

The Magicbricks findings point to a controlled expansion at the top end of the housing market, reinforcing the broader trend of balanced growth across India’s residential sector as it moves into 2026.