India’s real estate prices are expected to remain high, according to Akshat Shrivastava, a popular finfluencer and founder of Wisdom Hatch. In a recent post on X, he explained that the shift toward private developers has significantly influenced housing affordability.
“Unlike earlier times when people bought land and built their homes, today’s buyers prefer ready-to-move-in properties. Private developers, however, will never sell cheap,” Shrivastava noted.
Even during economic downturns, developers have strategies to sustain high prices. “They can stall projects, delay handovers, or sell developments to large private equity firms instead of offering discounts to buyers,” he said.
Shrivastava also pointed out the stark contrast between India’s GDP per capita around USD 2,200 and rising housing prices, which now rival those in major US cities. “Will the bubble continue to grow? Only time will tell,” he concluded.
As of early 2025, property prices have surged across metro cities. Mumbai remains the most expensive, with rates ranging between Rs 15,000–Rs 25,000 per sq. ft., fueled by infrastructure projects like the Mumbai Coastal Road and demand from high-net-worth individuals and Bollywood celebrities.
Delhi NCR witnessed the highest year-on-year growth at 49%, driven by developments like Noida International Airport and rising demand for luxury homes. Bengaluru and Hyderabad continue to experience strong appreciation, with IT-driven economies pushing rates to Rs 7,000–Rs 12,000 per sq. ft.
Meanwhile, emerging areas such as Dwarka Expressway in NCR and Panvel in MMR have recorded sharp price hikes due to improved connectivity and affordability. The dominance of luxury housing, coupled with a decline in affordable housing supply, has further fueled price increases.
With private developers controlling the market, Shrivastava’s analysis suggests that a drop in housing prices remains unlikely in the near future.
Source: Business Today
