Mumbai has emerged as one of the strongest global luxury housing markets, securing the 6th spot worldwide in Knight Frank’s Prime Global Cities Index (PGCI) Q2 2025. The city recorded an 8.7% year-on-year rise in prime residential property prices, outpacing several international peers, driven by infrastructure upgrades and renewed demand for high-value homes.
The index, which tracks luxury property prices across 46 global cities, placed Seoul (25.2%), Tokyo (16.3%), and Dubai (15.8%) at the top three positions. Bengaluru, with a 10.2% increase, ranked 4th globally, while Delhi made it to 15th with 3.9% growth.
Despite global headwinds slowing prime residential growth to 2.3% annually (down from 3.5% in Q1 2025), Indian cities continued to shine. Analysts attribute Mumbai’s strong performance to infrastructure-led growth, including new metro lines, coastal road projects, and airport expansions, which have boosted investor and end-user confidence in the luxury segment.
Shishir Baijal, Chairman & Managing Director, Knight Frank India, said:
“India’s prime residential markets have shown remarkable resilience in a year when global growth momentum has eased. Mumbai’s renewed infrastructure-led appeal, Bengaluru’s tech-driven wealth creation, and Delhi’s steady luxury demand have collectively kept India in the global spotlight.”
Globally, markets are seeing mixed trends. Liam Bailey, Global Head of Research, Knight Frank, noted that while some European cities are showing unexpected resilience, Asia’s top performers are beginning to stabilize.
The report highlights that Indian metros remain long-term wealth stores for domestic and global investors, supported by economic stability, limited prime supply, and sustained wealth creation in urban hubs
