Pune’s Luxury Apartment Market Demand Surges; Drives Prices Up by 30 Percent
Pune’s premium housing market has entered a strong growth phase, with prices in top micro-markets rising sharply over the past three years. A steady flow of buyers with high disposable incomes, returning NRIs, and interest from residents of other major metros has pushed luxury home rates up by nearly 30 percent.
In areas such as Baner and the Baner–Pashan Link Road, apartments that were priced around Rs 3 crore in 2022 are now touching or crossing the Rs 4 crore mark. Similar patterns are visible in several fast-growing pockets across the city, reflecting how demand for large, amenity-rich homes has accelerated since the pandemic.
Many buyers are looking to upgrade their lifestyle, choosing spacious apartments with modern features, better security, and premium facilities. Realtors say this shift was triggered by post-pandemic priorities, where homebuyers began placing more value on comfort, technology, and wellness. A sizeable part of this demand comes from end-users, not investors, which has kept the market relatively stable despite rising prices.
A notable trend shaping the market is the growing interest from NRIs who are returning to Pune either permanently or for part of the year. Their decisions are being guided by lifestyle needs rather than currency movements. They prefer properties that offer higher space, international-standard amenities, and well-connected neighbourhoods.
Migration from other metros is also adding momentum. Buyers from Mumbai, Delhi, and Bengaluru are exploring Pune because homes here offer more space and better liveability. Popular micro-markets like Baner, Mundhwa, Vimannagar, and Wagholi are seeing strong demand from this segment. Vimannagar, in particular, has emerged as a preferred location for global professionals due to its proximity to international schools and lifestyle infrastructure.
Older areas such as Kothrud, Deccan, Prabhat Road, and Koregaon Park continue to command a premium with ultra-luxury inventory often priced above Rs 5 crore. However, price growth in these established locations has been slower compared to the newer corridors.
Current estimates show that luxury home prices in prime micro-markets range between Rs 15,000 and Rs 25,000 per sq ft. Industry data points to a 27 to 29 percent appreciation in the luxury segment over the last three years. A recent report also showed a 21 percent rise in combined mid- and premium-segment values, with average prices climbing from Rs 7,311 per sq ft in 2022 to Rs 8,850 per sq ft today.
Even with this surge, Pune’s price increase has remained more measured than other major regions. The city recorded a 29 percent jump, compared to 73 percent in the National Capital Region and 43 percent in the Mumbai Metropolitan Region.
Developers from outside the city are now entering Pune to tap into the growing demand for premium homes. The market is shifting towards projects that offer smart-home technology, green certifications, wellness-focused amenities, and integrated community living. While demand remains strong, experts expect prices to stabilise as more supply is introduced in the coming months.
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