Deconstructing the 84% Figure
The number is staggering enough to warrant a second look. According to a recent report by ASSOCHAM and Knight Frank, homes priced above Rs 1 crore accounted for an astonishing 84% of all residential sales in the NCR during the first half of 2026. Just
eight years ago, in 2018, this same segment made up a mere 18% of sales. This isn't a story of a booming market in the traditional sense. In fact, between 2015 and 2025, the total volume of homes sold in NCR grew by only 7%, while new project launches actually decreased by 20%. The phenomenon is what experts are calling “value concentration.” In simple terms, fewer homes are being sold overall, but the homes that are selling are vastly more expensive. The market's centre of gravity has decisively shifted from volume-driven affordable housing to value-driven luxury.
The Rush for Premium Living
This dramatic transformation is powered by a confluence of factors. The post-pandemic world created an insatiable appetite for larger homes with better amenities. As work-from-home and hybrid models became ingrained, buyers began prioritising space, quality, and lifestyle over just location. Suddenly, a study, a balcony, and green spaces became non-negotiable for many. This shift in preference was met by a surge in wealth among high-income professionals and business owners, alongside robust investment from NRIs. Developers, seeing clear and consistent demand at the top end, were quick to respond. They pivoted their strategies, focusing on high-margin luxury projects that offered not just apartments, but curated experiences with clubhouses, wellness centres, and modern security. This created a feedback loop: buyer demand for luxury was met with increased luxury supply, which in turn dominated sales figures.
The Squeezed Mid-Segment Buyer
But the rise of the Rs 1 crore-plus segment tells only half the story. The other half is one of a rapidly shrinking space for the middle-class and first-time homebuyer. With developers concentrating their capital and efforts on premium projects, the supply of mid-segment and affordable housing has dwindled. The data shows a sharp contraction in the sub-Rs 1 crore segment, which was once the bedrock of the NCR market. For aspiring homeowners in this category, the dream of owning a home in a decent location is becoming increasingly difficult. They are faced with a dual challenge: a scarcity of new projects in their budget and soaring prices for the limited available inventory. An affordability index for the first half of 2026 found that property acquisition in NCR is now inaccessible for a majority of households, highlighting a growing barrier to entry.
Gurugram: Epicentre of the Luxury Boom
Nowhere is this trend more visible than in Gurugram. The city has cemented its position as NCR’s undisputed luxury hub. Much of the high-value transaction activity is concentrated in established and emerging corridors like the Dwarka Expressway, Golf Course Extension Road, and Southern Peripheral Road. These areas have benefited massively from infrastructure upgrades that improve connectivity to the rest of NCR. Developers have launched a slew of high-end projects here, offering sprawling apartments and villas that have been met with strong demand. While Gurugram leads the luxury charge, its influence is felt across the region, pushing property values up and redefining what buyers expect—and what they have to pay—for a new home in the capital region.
