What India's Modern Homebuyers Want

Real Estate

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Over the past few years, the modern Indian homebuyer’s definition of ‘home’ has undergone a change. It no longer signifies just ‘a roof over your head’ or an investment for the future. A growing segment of buyers want their dream abode to be much more than that. From wellness sanctuaries to a reflection of their aesthetic sensibilities, these homes are an extension of their owners’ aspirations and personalities. And so, it’s no surprise that 2026 is expected to be a happy year for India’s luxury housing market. In this blog, let’s look at what the preferences of the modern Indian homebuyers are.

What homebuyers want

Premiumisation in vogue

Over the past few years, the residential real estate market in India has been witnessing a growing interest in the luxury housing segment. This year, reports suggest, will be no different. It is estimated that sales value across the country’s top seven cities in Financial Year (FY) 2026 will exceed ₹6.65 lakh crore, which is an impressive year-on-year rise of around 20%. However, these figures do not reflect an increase in the number of properties sold. It just means that premium housing demand in India—properties priced above ₹1.5 crore—is steadily on the rise. In fact, a significant 42% of residential property launches in the first half of FY26 belong to the premium and luxury categories.

ESG is the buzzword

Sustainability, community living, and transparency are no longer niche. They are emerging as the bare minimum for today’s discerning homebuyers. So yes, Environmental, Social, and Governance (ESG) compliance is a must.

Many urban homebuyers — both in Metros and tier II cities — are conscious about the environmental impact of their living. So, there’s a marked preference for energy-efficient homes with features such as solar panels, the latest water-saving technology, and provisions for groundwater harvesting. Further, with a poor Air Quality Index (AQI) posing a serious health threat in most of our Metros and big cities, people are increasingly opting for greener surroundings and non-toxic building materials. Green homes, with certifications from bodies like the Indian Green Building Council (IGBC), are also in demand.

In the post-pandemic world, a healthy social life and a sense of community bonding have become extremely important. People are now looking for homes/residential projects that offer ample community spaces, amenities, accessibility, and safety. From celebrating multiple festivals together to bonding over fitness, the sense of belonging that a thriving community fosters is high on the priority list for many homebuyers.

Transparency, of course, is non-negotiable. Today, there’s an increasing awareness about the mandatory Real Estate Regulatory Authority (RERA) approval and several legal and technical compliances.

Spirituality-driven surge

Over the past few years, many of India’s key spiritual centres have witnessed exponential growth in infrastructure, followed by investments. For example, Ayodhya is being transformed into a city meeting global standards with infrastructure projects estimated at around ₹85,000 crore underway. These include a world-class airport, an excellent road network, and a modern railway station. Similarly, Varanasi has received projects worth thousands of crores, aiming for its holistic development, including infrastructure, healthcare, tourism, and education, among other sectors.

This spurt in development has also led to an increase in demand for residential projects. While many people are moving into these cities because of improved job opportunities, others are opting for their second homes here. Similar trends are visible across major pilgrimage centres in India, including Amritsar, Puri, Dwarka, Shirdi, Tirupati, Guruvayur, Hampi, Tiruchirappalli, Madurai, Rameshwaram, and Tiruvannamalai, to name a few.

Positive homes

‘Vibe’, a term popular among Gen Zs and millennials, has emerged as an essential factor for most modern homebuyers. Given the hectic lifestyle and high stress levels today, people want their homes to be sanctuaries of happiness, peace, and wellness, brimming with positivity. While Vastu has always been popular in India, Feng Shui has also cultivated a loyal fan following in the country over the years.

There are also many takers for Wabi Sabi, an aesthetic philosophy from Japan that is based on embracing and finding the beauty in imperfection and impermanence. It is governed by principles such as elegance, tranquillity, and cleanliness, which instill a meditative calm. Kanso, or simplicity, is one of the core principles of Wabi Sabi. It basically means removing the unnecessary elements in a space, or uncluttering it, allowing it to be experienced with clarity.

Also gaining popularity is Wu Wei, the Taoist concept from China. It emphasises going with the flow of nature to facilitate a positive flow of energy and is in alignment with the Tao. The Tao is the “Way,” the natural order. Wu Wei advocates going with the flow of nature; it is a non-action approach of following the laws of nature. The aesthetic philosophies may be different, but the goal remains the same: a home exuding happy, positive vibes.

Why choose luxury homes

A love for luxury is not the only reason to invest in premium properties. Here are a few other factors responsible for their popularity in the residential real estate market in India.

High Return on Investment (ROI)

Buying luxury property is always an excellent investment option. With Indian real estate trends showing a positive tilt towards premiumisation, investments hold the promise of good returns. For example, between 2022 and 2025, Bangalore has witnessed an average increase of 42% in the prices of homes worth over ₹1.5 crore.

Steady rental income
The better the property, the higher its rent. Premium properties attract tenants who are in the high-income bracket and are willing to loosen their purse strings for top-notch living. Such properties can also be rented out as venues for high-profile events or as exclusive vacation homes.

Elevated social status
In today’s society, your address signifies your wealth and success. So, many homebuyers see investing in premium properties as a way to enhance their social status.

Top-notch quality and amenities
Most premium properties boast an array of exclusive amenities and vast green spaces. This enhances the overall quality of living, boosts physical and mental well-being, and also adds to convenience.

Enhanced privacy and security
The biggest advantages of luxury properties is the privacy and hi-tech security they offer. From separate entrances and private backyards/gardens to multiple manned entry points and biometric identification processes, these residences are epitomes of exclusivity and safety.

Conclusion

From positivity to premiumisation, India’s modern homebuyers are seeking properties that enhance their holistic well-being. While this trend has been gaining strength for some years now, the new year is expected to add further impetus to its growth. Talking about elevated living, read this blog to know all about the key aspects that will define the wellness home trend in 2026.

FAQs

What are the main points to keep in mind when buying a luxury home?

Here are some crucial aspects to check when buying a premium residential property:

Location: Ensure it is a prime location with good connectivity and proximity to social amenities. Also, analyse the growth prospects of the area.

Ensure it’s premium: You are buying a luxury home, but is it truly luxurious? From design and construction to the quality of the materials used, make sure everything is top-grade.

Trusted developer: At a time and age when real estate scams are common, make sure you choose a trusted name in the market — a builder with an incredible track record.

Management matters: How efficient are the maintenance, safety, and security systems? Do a thorough inspection to make sure all of that is ‘premium’, too.

Legal compliance: As you do for every property, ensure all documentation is in order, including RERA verification, title deed, and sale deed.

Some luxury homes come with a private backyard/garden. What are its main advantages?

To begin with, it boosts the value of your property. You can also use your backyard in multiple ways.

Grow a fruit and vegetable garden for fresh, organic food.
Set up an outdoor gym and a kids’ play area.
Install a barbecue and a star-gazing deck and convert it into a mini camping site/party corner.
Set up rainwater harvesting and compost systems.
Transform it into a Zen corner with a hammock, comfortable seating, mini fountains, flowering plants, and windchimes.

What are some basic Vastu tips for people planning to buy a house?

Here are some basic points for you to check out.

Avoid homes with an irregular shape. Also, don’t choose land that is circular, oval, or triangular.
The main entrance should face north, east, or northeast.
Southeast is the best direction for the kitchen.
The master bedroom is best placed in the southwest.
Set up the guest room/children’s room in the northwest corner.

Sources:

Residential Real Estate: A Peek into What India’s Modern Homebuyers Want

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