Tier 2 & 3 Cities Drive 44% of Land Acquisitions
25 Mar 2025
1 Min Read
CW Team
India鈥檚 real estate sector is undergoing a significant transformation as developers shift focus to Tier 2 and Tier 3 cities. A recent CREDAI-Liases Foras report, unveiled at the New India Summit 2025 in Nashik, reveals that these emerging urban centers accounted for 44% of the 3,294 acres of land acquired by developers in 2024.
Key Market Trends & Insights:
Housing sales in 2024 reached 681,138 units across 60 cities, reflecting a 23% YoY increase.
Sales value in the primary market hit Rs 7.5 trillion, a staggering 43% YoY growth, driven by sustained demand across all segments.
Luxury & ultra-luxury properties dominated, contributing 71% of total sales value, signaling a growing preference for premium living.
Boom in High-End & Affordable Housing
Properties priced Rs 1 million saw a 52% sales surge, with 1,32,532 apartments sold.
Ultra-luxury homes Rs 20 million+ recorded a remarkable 73% growth, highlighting developers' confidence in high-net-worth buyers.
Affordable housing remains a key driver, particularly in the Priority Sector Lending (PSL) category (homes under Rs 30 lakh) and the Rs 30-50 lakh segment.
Cities Leading Growth & Investment
Price appreciation hotspots: Lucknow, Jaipur, Bhubaneswar
Affordable housing hubs: Ahmedabad, Pune, Indore, Coimbatore
With urbanisation accelerating and government initiatives like Gati Shakti improving connectivity, these emerging cities are rapidly becoming prime real estate destinations for both first-time buyers and investors.
India鈥檚 real estate sector is undergoing a significant transformation as developers shift focus to Tier 2 and Tier 3 cities. A recent CREDAI-Liases Foras report, unveiled at the New India Summit 2025 in Nashik, reveals that these emerging urban centers accounted for 44% of the 3,294 acres of land acquired by developers in 2024.
Key Market Trends & Insights:
Housing sales in 2024 reached 681,138 units across 60 cities, reflecting a 23% YoY increase.
Sales value in the primary market hit Rs 7.5 trillion, a staggering 43% YoY growth, driven by sustained demand across all segments.
Luxury & ultra-luxury properties dominated, contributing 71% of total sales value, signaling a growing preference for premium living.
Boom in High-End & Affordable Housing
Properties priced Rs 1 million saw a 52% sales surge, with 1,32,532 apartments sold.
Ultra-luxury homes Rs 20 million+ recorded a remarkable 73% growth, highlighting developers' confidence in high-net-worth buyers.
Affordable housing remains a key driver, particularly in the Priority Sector Lending (PSL) category (homes under Rs 30 lakh) and the Rs 30-50 lakh segment.
Cities Leading Growth & Investment
Price appreciation hotspots: Lucknow, Jaipur, Bhubaneswar
Affordable housing hubs: Ahmedabad, Pune, Indore, Coimbatore
With urbanisation accelerating and government initiatives like Gati Shakti improving connectivity, these emerging cities are rapidly becoming prime real estate destinations for both first-time buyers and investors.
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