By Kamal Khetan
Over the past few years, residential real estate market has experienced a paradigm shift. Due to the change in perception, luxury house ownership is now viewed through different lenses altogether. To satisfy changing consumer needs and aspirations for a more affluent lifestyle, the luxury real estate market continues to evolve. In addition to personalised services and carefully crafted experiences, the new standard in luxury housing incorporates additional layers of safety and comfort. Because of shifting demographics, increased use of technology, and increasing income levels, consumer behaviour has undergone significant change.
In the top 7 regions, sales of luxury homes increased by 18% in 2022. According to an Anarock report, the Mumbai Metropolitan Region (MMR), Delhi-NCR, and Hyderabad sold a combined total of about 50,100 units of luxury homes in 2022, compared to only 14,050 units in these three regions in 2019.
Workplace hybridization – A Gateway to Luxury Living
The demand for bigger homes with workspaces has increased as hybrid work culture has become more ordinary. Homebuyers are expressing interest in houses with amenities and extra office room to foster a pleasant and productive work environment. Because of this, purchasing luxurious real estate has become very valuable.
Millennials – The Real Growth Drivers
The luxury market was the primary driver of the real estate industry growth in 2022, and it is anticipated that this pattern will continue in 2023, changing the perceptions of prospective homebuyers. The desire for house ownership across age groups is undergoing a fundamental shift, which we are all witnessing. The young and expanding populace of India will continue to drive up housing demand. Millennials have a significant influence on the trend of people looking for homes in affluent neighbourhoods because they now expect a better standard of living in addition to a secure home.
HNIs and NRIs: Fostering the Growth of Luxury Residential Housing
The demand for upscale housing has lately increased as a result of the fact that a sizable portion of HNIs invest in luxury real estate. India ranked third in the world’s millionaire population in 2021 as a result of an 11% rise in the population of the “super-rich.” Over the past few years, NRIs and HNIs have become increasingly interested in luxury real estate. NRIs engage in real estate in India for their own use, as investors, or as rental properties. The majority of these NRIs are among India’s UHNIs from overseas. The surge in customer interest and trust will likely lead to new heights in the luxury housing market this year.
There is a need to focus on raising the industry standard in order to meet the rising demand for luxury homes. The Indian real estate market has been successful in luring NRIs back because of its modern amenities, state-of-the-art construction and design, prominent locations, and more. In the years to come, it is anticipated that the market will grow and become more profitable. Demand for luxury homes has increased significantly in recent years, requiring an adjustment in the industry to suit wealthy buyers. These customers demand premium amenities, discretion, personalization, state-of-the-art equipment, and skilled maintenance. Owning a luxury home is now regarded as a wise investment because it offers long-term safety, capital development, comfort, and financial stability.
Overall, the concept of luxury living has evolved over time; today’s consumers prefer to live in environments with strong connectivity and a variety of work-live-play choices. Luxury living has also seen a shift towards individualised and fully serviced residences, including maintenance, concierge services, high-end amenities, cutting-edge security, and other necessary offerings. This is because buyers are beginning to understand the inherent value of such services and the investment opportunities that these residences present. Furthermore, contemporary homebuyers seek out larger homes with adaptable floor plans, dedicated work spaces, more windows and ventilation, outdoor spaces, and other conveniences that promote their overall wellbeing. Properties near a strong social infrastructure, such as the finest foreign schools, hospitals, retail spaces, banks, and more, are attractive to new-age buyers who want a piece of a global lifestyle surrounded by a like-minded community.