The real estate market is witnessing an extraordinary flight to premiumization. This growth is heavily backed by robust market fundamentals and homebuyer appetite for residences priced between Rs 1.5-3 crore. Bengaluru remains a top performing market. Despite some contraction in new launch volumes as developers plan and align with high-end demand, the actual sales velocity remains good. Property prices, too, have seen a good growth suggesting a high end-user demand. High-earning professionals and buyers in Bengaluru are no longer just looking for standard square footage—they are aggressively investing in premium, high-value assets that promise long-term lifestyle enhancement and capital preservation.
Mr. Lalit Parihar, Managing Director, Aaiji Group, a real estate firm, a Gujarat-based real estate firm
The growth in residential sales during January–September 2026 signals a clear improvement in market sentiment and the resilience of India’s housing sector. A particularly significant trend is the increasing contribution of premium housing, with homes priced above Rs 1 crore accounting for nearly 72% of total sales. The strong traction in the Rs 1.5–3 crore category reflects buyers’ willingness to upgrade to larger, better-located and higher-quality homes, supported by income growth and long-term confidence in residential real estate. While demand remains concentrated in key markets such as Bengaluru, Mumbai and Pune, the rise in launches across select cities indicates developers are responding to evolving buyer preferences. Going forward, sustainable growth will depend on maintaining a balance between premium supply, affordability and end-user demand.
