With high net worth individuals (HNIs) and NRIs increasingly preferring the Millennium City, Gurugram has overtaken Mumbai as the new luxury housing capital of India. Buyers are attracted to spacious gated communities, golf-course living and large-format, premium developments that offer lifestyle amenities and social capital where the country’s wealthy congregate, factors that increasingly shape purchase decisions in the ultra-luxury housing segment.
However, a key question remains: can demand for ultra-luxury housing maintain its current pace, or could the growing pipeline of high-end supply create a demand-supply imbalance and raise concerns of a potential bubble in India’s premium residential market?
The recent luxury housing report by India Sotheby’s International Realty and CRE Matrix shows that Gurugram has overtaken Mumbai in the total selling value of homes. ₹10 crore and above in 2025. City records ultra-luxury transaction price ₹24,120 crore during the calendar year, emerging as India’s fastest growing premium residential market compared to Mumbai. ₹Rs 21,902 crore in this category.
Akash Ohri, MD and CBO, DLF, said Gurugram has strongly transformed into a market where luxury real estate is no longer niche but has increasingly become mainstream. strong demand in ₹The Rs 10 crore plus segment reflects a decisive shift in the pursuit of a better living experience from mere ownership, defined by large, well-designed homes in gated projects offering privacy, security, lifestyle amenities, wellness, curated community amenities and strong social infrastructure.
“This momentum is driven by the growing base of entrepreneurs and senior professionals as well as continued wealth creation in technology, start-ups and financial services. Importantly, the luxury buyer profile is becoming younger, with savvy buyers in their early 30s now actively investing. At the same time, consistent NRI demand underlines the appeal of these developments as they provide a global lifestyle benchmark that is different from what they are accustomed to overseas,” he said.
Another highlight of the week was a high-profile transaction led by investor Warren Buffett involving Ajit Jain, vice president of insurance operations at Berkshire Hathaway. Jain buys around 7,400 sq ft apartment in DLF The Camellias ₹85 crores. The transaction is understood to be the highest priced deal for the initial 7,400 sq ft configuration of the project, setting a benchmark of approx. ₹1.10 lakh per square foot.
Gurugram vs Mumbai fuels online debate
This has sparked a discussion on Reddit about whether Gurugram has overtaken Mumbai as the luxury real estate capital. For years, Mumbai dominated India’s luxury real estate market, with most ₹Home purchases worth Rs 10-20 crore are concentrated in South Mumbai, Bandra and Worli. Although Gurugram had a presence, it was not considered the country’s top luxury destination. That dynamic is now changing.
Large ticket sizes, new housing inventory and availability of vast land parcels suitable for large-format luxury developments have helped Gurugram emerge as a strong contender. At the same time, Mumbai’s prices have already increased affordability even for wealthy buyers, the Reddit post said.
Another key driver is the evolving buyer profile. One Redditor said NCR’s growing corporate ecosystem and startup founders prefer Gurugram’s corporate culture compared to Delhi’s traditional business environment.
The post said that for many affluent buyers, gated townships in Gurugram offer practical lifestyle benefits, including organized parking, access to amenities such as pools, tennis and badminton courts within walking distance, enhanced security and a community of like-minded residents.
“Avoid the daily hassles over parking, get access to a pool/tennis/badminton court etc for your kids at walking distance, the security of a gated township, the company of like-minded people,” the post said.
“This is why flats worth Rs 100 crore are being sold and they are not buying kothi in Vasant Vihar,” the Redditor said.
Generational preferences are also reshaping demand. Many young Delhiites are choosing to move out of the capital, unless they already own homes in its most elite neighbourhoods, while their parents remain in Delhi. Compared to Noida, Gurugram enjoys stronger connectivity to Delhi through multiple entry corridors such as MG Road, NH-8 and Dwarka Expressway, further strengthening its appeal as the preferred luxury residential hub of NCR, the post said.
Bigger houses, better values: Why HNIs are preferring Gurugram over Mumbai?
Various factors including price, supply dynamics and location advantage are the reasons behind this trend.
“The ‘value for money’ factor or the reality of ‘location versus value’ appears to be attracting HNIs to the ultra-luxury market in Gurugram. For example, in the expensive south central areas of Mumbai (Worli, Tardeo, Prabhadevi), one will find a relatively small-sized house with private golf courses, Olympic-sized pools and large green spaces compared to a larger property possibly in Gurugram,” said Santosh Kumar, vice-president, ANAROCK Group.
Additionally, there has been a rise in HNIs in Delhi-NCR, driven by the rapidly growing start-up ecosystem there, and many of these founders prefer to shop here in Gurugram rather than Mumbai, he said.
“Gurugram’s ultra-luxury market is largely driven by deep-pocketed end users and long-term investors, who view these homes as trophy assets rather than speculative inventory. Many HNIs continue to own big-ticket residences acquired years ago, which are priced even lower today ₹40-100 crores or more, strengthening confidence and driving repeat purchases. Compared to Mumbai and other cities, where ultra-luxury supply is fragmented and space is constrained, Gurugram offers a more cohesive, master-planned ecosystem that supports long-term ownership, even for families who do not live in the city full-time,” explains Kshitij Jain, founder and director of Rizin Advisory.
Mumbai real estate companies are entering Gurugram to meet the growing demand for premium housing.
Apart from local major developers in the area, some Mumbai-based developers have also shown interest in purchasing land in Gurugram. This city has attracted many people big developers Due to ample land availability, unlike Mumbai which is facing land shortage.
Also, unlike the Mumbai market, recent projects in Gurugram sold out within days of launch It takes time to sell projects Due to adequate availability. Kumar points out that this may also have attracted developers.
will demand ₹Are 50 crore houses stable?
Unlike previous years (2023, 2024), the ultra-luxury market ( ₹50 crore and above in Gurugram) is currently entering the normalization phase, with sales entering a cool-off period.
“Going forward, demand in this segment will essentially remain resilient if there is no excess supply as many ultra-luxury buyers prefer limited trophy homes over plentiful ones,” says Kumar.
₹The above Rs 50 crore segment here has historically been defined by limited supply on Golf Course Road, where the quality and lifestyle offering has continuously improved. As long as this segment remains tightly controlled and not oversupplied, absorption should remain resilient, Jain said, and pricing is likely to remain in a steady state, long-term upside.
₹Experts say the Rs 10 crore housing market may see a slowdown in sales.
for homes ₹In the above Rs 10 crore segment, sales may be lower due to excess new supply, potentially leading to inventory pile-up if supply is not reduced.
“Also, we have also seen investors coming forward as new supply in this segment by leading developers has started entering the market in the last few years. But now these investors are also moving with caution as the market has stabilized to some extent after the frenzy seen earlier. Therefore, major sales will be seen by end users HNIs and NRIs,” Kumar said.
Kumar said that while the prices of houses are low ₹50 crores can remain witnesses annually price appreciation Around 6-8%, supported by limited availability ₹Limited growth may be seen in the Rs 10 crore segment. If not, decline. This segment has seen a lot of growth new supply Over the past one to two years, the scarcity premium that previously supported price increases has been reduced.
Also read: Are ultra-luxury properties the new blue-chip stock for India’s rich?
