LUXURY AT SCALE

The growing preference for luxurious lifestyles is leading developers to offer luxury housing in Tier-2 and smaller towns driving growth.

- Ashish Sinha

LUXURY IS NO LONGER THE PREROGATIVE of just the rich and famous in the big cities. It is getting more and more broad-based, with a growing population of the well-to-do in smaller cities and towns eager to splurge on the premium things of life, whether it's high-end homes, wonder wheels, custom-made clothes, or the other accessories of premium lifestyle.

This trend has underpinned the growing demand for premium properties, which of late has led developers to focus on luxury housing units not only in metros but also in adjoining cities and towns, driven by the promise of greater returns and better margins. In fact, properties worth Rs 1 crore and above, which once marked the luxury threshold in major cities, are now fairly common. While the rising costs of land, inputs, and construction have a role in pushing up prices, it is also true that homebuyers are now seeking residences equipped with modern amenities and spacious layouts.

This shift towards larger, amenity-rich homes is contributing to the uptrend in property prices. Although there are fluctuations in various price segments, the overarching trend signals promising opportunities for investors. It’s evident that the market is moving towards a positive trajectory, driven by the evolving preferences of discerning buyers.

Demand for Premium Housing

The housing data of recent months indicate a significant trend in buyer behaviour, with a shift towards high-value acquisitions. There has been a consistent increase in the sale of properties in higher price brackets, including those valued between Rs 75 lakh and Rs 1 crore and above. This trend suggests a growing inclination towards upscale real estate offerings, potentially driven by factors such as increased disposable income and changing lifestyle preferences.