New Delhi: Delhi’s real estate market in 2025 is a tale of two cities: a luxury boom on one side and a stabilizing mid-segment on the other. While the National Capital Region (NCR) has witnessed an 81% surge in property prices over the past five years, recent trends suggest a cooling-off period, especially in mid-tier segments.
Luxury segment: The sky’s the limit
The luxury housing market is experiencing unprecedented growth. DLF’s “The Dahlias” project in Gurugram, priced at approximately $8 million per unit, achieved record bookings of $1.4 billion within nine weeks, marking the first time a single project in India surpassed ₹10,000 crore in sales in a quarter.
Similarly, the Dwarka Expressway corridor has seen property prices nearly double from ₹9,434 per sq ft in 2020 to ₹18,668 per sq ft in 2024, driven by improved infrastructure and connectivity.
Mid-segment market: A period of stabilization
Contrasting the luxury boom, the mid-segment housing market is showing signs of stabilization. According to PropTiger’s Q1 2025 report, average housing prices in Delhi-NCR remained steady at ₹8,106 per sq ft, indicating a shift towards a more end-user-driven market.
This stabilization follows a period of rapid appreciation, with Delhi-NCR recording a 32% year-on-year increase in residential prices in 2024.
Infrastructure developments: Catalysts for growth
Infrastructure projects continue to play a pivotal role in shaping Delhi’s real estate landscape. The Delhi–Meerut Regional Rapid Transit System (RRTS), set to be fully operational by June 2025, promises to enhance connectivity and boost property values along its corridor.
Additionally, the expansion of Worldmark Aerocity, including India’s largest shopping mall, is expected to further elevate the city’s commercial real estate profile.
Looking ahead: Strategic considerations for buyers and investors
While the luxury segment continues to thrive, the mid-segment market’s stabilization offers opportunities for end-users seeking long-term value. Investors should monitor infrastructure developments and emerging micro-markets, such as areas along the Dwarka Expressway and RRTS corridor, for potential appreciation.
However, caution is advised in the luxury segment, where rapid price escalations may not be sustainable in the long term. Due diligence and a focus on fundamentals will be key to navigating Delhi’s dynamic real estate market in 2025.
