There’s a clear shift in how India is thinking about homes right now-more specifically for luxury living. Houses are no longer just places to live in. These are statements of lifestyle. People today want more-more comfort, better design, higher sustainability standards and stronger security and amenities that fit a modern, global way of living. This shift is visible when we look at the growth curve of the luxury and branded residencies segment.

      India now ranks sixth globally in branded residence projects, contributing about 4 per cent of the world’s supply.1 The market-currently valued at USD5 billion-has seen the number of branded homes rise by 55 per cent in the last five years and over 160 per cent in the past decade.2

      Here are the key factors driving this boom:

      • Rising affluence and confidence

        India’s base of high net‑worth individuals (HNIs) and ultra-high net‑worth individuals (UHNIs) is growing rapidly and with it comes a willingness to pay for quality, reliability and global standards, not just square footage

      • Trust and assurance

        Brand-backed residencies offer something very valuable: credibility. Today, global hospitality brands, international design firms and modern Indian developers are teaming up to deliver a fresh supply of stylish homes that consumers love. From construction quality to services and long-term reliability, buyers are seeing brands as safeguard for their investments

      • Changing lifestyle and expectations

        Buyers today are well-travelled, exposed to global living standards and increasingly focused on wellness, sustainability and community living

      This shows that luxury housing in India is quickly evolving into a well-defined, structured segment with growing momentum, with an estimated 60 per cent expansion in the next few years.3 However, as demand grows, so do the risks. For instance, rapid launches could test market absorption. Second, execution risks may also rise as multiple high-end projects run in parallel.

      Overall, the picture remains one of structural strength. While ongoing global disruptions are putting cost-side pressure, the demand remains resilient so far. For a segment that has long been a preferred choice for NRIs, luxury housing is likely to see a renewed demand‑side tailwind as overseas Indians deepen their engagement with the domestic housing market. At the same time, rising prices and broader sentiment shifts could temper this momentum at the margins, making the trajectory one of opportunity, but not without nuance. Accelerated geopolitical shocks could transmit risks through energy prices, financial market volatility and investor sentiment, potentially affecting construction costs and buyer confidence at the margin. 

      Going forward, for developers and buyers alike, resilience will hinge on disciplined execution, prudent financing and a long term view amid potential disruptions.

      [1] India ranks sixth globally in branded residences, with Mumbai, Delhi-NCR, Bengaluru, and Pune leading: Report, Hindustan Times, 14 October 2025, accessed on 30 March 2026

      [2,3] India Sees 55% Rise in Branded Homes Over Past 5 Years: What's Driving the Boom?, News18, 31 December 2025, accessed on 30 March 2026

      Author

       

      Neeraj Bansal

      Partner and Head India Global

      KPMG in India

      How can KPMG in India help

      The world is witnessing urbanisation at an unprecedented pace, which is expected to further accelerate, and India is anticipated to lead this growth.

      Our Supply Chain Realignment solution is a specialised value-driven offering to help clients build greater resilience into their global supply chains

      KPMG in India, with its vast repertoire of skill sets and resources is aptly positioned to offer clients an array of services.


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