Resurgence of Luxury Housing
The super luxury housing segment, with prices ranging from Rs. 4 crore to Rs. 30 crore, experienced a period of relative quietude during the economic slowdown. However, it is now experiencing a significant resurgence. Demand for these high-end residential properties has increased by 30-40 percent.
Developers Capitalize on Boutique Homes
Real estate companies such as Lodha Developers, Orbit Corporation, and Skyline Constructions are seizing this opportunity presented by the increased demand. They plan to capitalize on a highly specialized niche within the market—boutique homes.
Sales of Luxury Boutique Homes Soar
Anand Narayanan KB, the National Head (Residential Agency) at Knight Frank India, explains that sales of these exclusive boutique homes are significantly higher compared to volume luxury properties due to the inherent limitations within this segment. This scarcity contributes to the elevated demand.
Targeting the HNI Segment
These opulent homes are designed to appeal to high-net-worth individuals (HNIs). This demographic includes senior professionals, CEOs, affluent non-resident Indians (NRIs), and entrepreneurs involved in emerging businesses who are seeking to establish residences in India.
Price Appreciation and Concerns
Raminder Grover, CEO of Homebay Residential, a division of Jones Lang LaSalle Meghraj, a prominent real estate services firm, has observed a 20% increase in the prices of luxury homes.
"The prices of luxury homes has gone up by 20%."
However, Mr. Grover cautions against unchecked price escalation. He adds that price stability is crucial for sustained demand, warning that further price increases could dampen the current enthusiasm for luxury properties.
"However, he also added that the prices should not rise now and become stable or otherwise the demand will go down again."