Real Estate Mkt In Pune Slows Down For Luxury Properties Over Rs 2 Cr

The Pune luxury real estate market’s slowdown for properties priced above Rs2 crore is indicative of shifting consumer preferences and a cautious investment outlook - Vishal Raheja, Founder and MD, InvestoXpert

Pune: Pune's housing market continues to perform well as one of India's most buoyant and resilient spaces. Over the years, the strong IT and corporate positioning of the city has kept the demand for high-end housing continuing, especially in the Rs1-2 crore range. So far, a good infrastructural backbone combined with top-class educational hubs along with active job markets has kept the attractiveness high for homebuyers and investors alike.

Talking to Bizz Buzz, Abhishek Raj, Founder & CEO, Jenika Ventures says, “The slowdown in Pune’s luxury real estate segment—specifically properties priced above Rs2 crore—is a reflection of shifting buyer sentiment and macroeconomic caution.”

As per 2023-24 industry data, the inventory overhang for luxury units in Pune rose by nearly 18 per cent year-on-year, with sales absorption slowing down by over 22 per cent in this segment alone. While the overall city saw a healthy 10 per cent increase in mid-range property sales, luxury homes have lagged due to rising interest rates and stricter lending norms for high-ticket purchases. Buyers today are seeking greater value and long-term potential, often redirecting funds toward commercial assets or secondary cities offering similar amenities at lower prices, he said.

However, I see this as a phase of market recalibration rather than a long-term concern. Pune’s luxury segment holds potential for revival in H2 2025, especially if developers refocus on customization, flexible payment plans, and sustainable, experience-driven offerings, he added.

Pune’s rise as a corporate and IT powerhouse continues to drive the demand for high-quality housing. Professionals, entrepreneurs, and NRIs prefer Pune for its well-planned infrastructure, excellent connectivity, and world-class amenities. The city’s expanding metro network, enhanced roadways, and modern residential developments make it a prime real estate market.

Developers are proactively catering to homebuyers by introducing thoughtfully designed premium projects. These properties offer modern amenities, seamless connectivity, and an upscale living experience, reinforcing Pune’s status as a preferred real estate destination.

Vishal Raheja, Founder and Managing Director, InvestoXpert says, “The Pune luxury real estate market’s slowdown for properties priced above Rs2 crore is indicative of shifting consumer preferences and a cautious investment outlook.”

With a surge in demand for more affordable, mid-range properties, high-end buyers are becoming more discerning, focusing on value-driven investments rather than just luxury alone. The ongoing market consolidation may also lead to better clarity in the future for the premium segment.

Pune’s real estate market has consistently delivered impressive appreciation, making it an ideal choice for both end-users and investors. The city’s stable economic growth, strategic location, and expanding infrastructure contribute to a thriving property market. The demand for premium properties ensures a positive outlook for real estate investments, offering strong returns and long-term value.

With a balanced mix of affordability and luxury, Pune provides an unparalleled living experience. Investors and homebuyers alike recognise Pune’s potential as a city that guarantees both lifestyle enhancement and financial growth.

“The recent stagnation in Pune’s luxury real estate segment, particularly for properties priced above Rs2 crore, reflects a shift in buyer sentiment amid evolving economic conditions. While Pune has long been a preferred destination for high-end homebuyers, rising interest rates, cautious investor behavior, and increased supply have slowed the pace of sales. Developers must now focus on offering differentiated value—be it through exclusive amenities, sustainable designs, or flexible payment plans—to reignite demand. At the same time, mid-segment and affordable housing continue to witness strong traction, reinforcing the changing priorities of homebuyers. The coming quarters will be crucial in determining whether this slowdown is temporary or signals a longer-term correction.” says Rohit Maingi, Founder of Whiteluxe Real Estate.

The developers in Pune are welcoming newer market trends by integrating more sustainable and innovative design elements in their projects. From smart home technology to eco-friendly construction practices, the real estate sector of the city is changing to meet today's modern demands. Pune is continuing to lead in creating future-ready homes that align with contemporary lifestyles.

Real estate markets in Pune still form one of the high-powerhouses for growth and opportunities. High demand exists in the premium housing segment coupled with steady infrastructural upgrades that confirm this place to be among India's most prized locations for real estate investments.