Mumbai’s Luxury Housing Market Booms in 2024: Sales Surge by 11%

Mumbai’s real estate market had a strong year in 2024, with residential sales reaching 96,187 units—an 11% increase from 86,871 units in 2023, according to a report by Knight Frank India. This growth highlights the city’s enduring appeal as a residential hub, fueled by rising demand for premium and luxury homes and key infrastructure developments that have enhanced connectivity across the city.

From high-end homes priced in the ₹20-50 crore range to more affordable housing in the ₹1-2 crore segment, the market catered to diverse buyer preferences. Developers also aligned new launches with these trends, ensuring a steady supply of homes across price categories.

According to Gulam Zia, Senior Executive Director, Research, Advisory, Infrastructure, and Valuation at Knight Frank India, “Mumbai’s residential market continues its steady growth, driven by sustained demand for premium housing and transformative infrastructure developments. Key infrastructure projects like the Mumbai Coastal Road and Metro Lines have greatly improved connectivity, fueling demand in suburban areas.”

Luxury Housing Sees a Big Jump

The luxury housing market in Mumbai saw exceptional growth in 2024. Homes priced between ₹20-50 crore recorded a 143% increase in sales, with 192 units sold compared to 79 in 2023. The ₹5-10 crore category saw a 112% rise, with 1,866 units sold, while the ₹10-20 crore segment recorded a 68% increase, with 360 units sold during the year.

Vivek Rathi, Head of Research at Knight Frank India, noted that most buyers in the ₹20-50 crore segment were seasoned investors rather than first-time homebuyers. “We saw significant interest in under-construction projects, with a smaller share about 5-7% in redevelopment projects,” he added.

Luxury homes in Mumbai have attracted high-net-worth individuals (HNIs), including CXOs, company promoters, and Bollywood celebrities. In 2024, the Bachchan family made significant investments in Mumbai's real estate, with Amitabh Bachchan purchasing properties worth ₹76 crore and Abhishek Bachchan spending over ₹30 crore in areas like Oshiwara and Magathane (Borivali East), including both residential and commercial spaces. Similarly, Shahid Kapoor and Mira Kapoor bought a ₹58 crore sea-view apartment in Worli's Oberoi Three Sixty West project, while Deepika Padukone’s firm, KA Enterprises, acquired a ₹17.8 crore apartment in Bandra West.

Apart from Bollywood personalities, several major real estate companies have also invested heavily in luxury homes. Notable names include Sattva, Sobha, Brigade Enterprises, Suraj Estate Developers, Hiranandani Group and Signature Global, which have continued to contribute to the flourishing market in the city.

Buyers in this segment typically sought properties in upscale neighborhoods like Mahalaxmi, Worli, and Malabar Hill, with some activity also noted in suburban areas like Dombivili, Kurla, and Virar.

Affordable Housing Holds Steady

While luxury housing dominated the headlines, affordable housing also witnessed steady demand. Homes priced between ₹1-2 crore saw their share of total sales rise to 20% in 2024, up from 17% in 2023. Similarly, the share of homes priced in the ₹2-5 crore range increased from 6% in 2023 to 10% in 2024.

This consistent growth across various price points reflects Mumbai’s ability to meet the needs of a wide range of homebuyers, from first-time buyers to seasoned investors.

Among all Indian cities, Mumbai led the way in the sale of homes priced between ₹20-50 crore, reinforcing its position as the country’s premier market for luxury housing.

Property Prices Continue to Rise

Mumbai also saw a 5% increase in housing prices in 2024, with the weighted average price reaching ₹8,277 per sq ft, the highest among India’s top eight cities.

Central and South Mumbai recorded the largest price gains, with Worli witnessing an 8% increase to ₹70,153–91,227 per sq ft, and Lower Parel seeing a 6% rise to ₹33,665–37,143 per sq ft. Suburban areas like Mira Road and Kharghar also reported a 5% increase, with prices reaching ₹11,697–12,966 per sq ft and ₹9,495–10,997 per sq ft, respectively.

Infrastructure Projects Boost Demand

The ongoing development of major infrastructure projects, such as the Mumbai Coastal Road and new Metro Lines, has significantly improved connectivity across the city, driving housing demand in suburban areas. These projects have not only reduced travel time but also made suburban neighborhoods more accessible and attractive to buyers.

Developers have responded to this increased demand by launching projects in both premium and luxury segments, ensuring a steady supply of homes that cater to Mumbai’s growing population and its evolving lifestyle needs.

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