India's Luxury Housing Demand Weakens as Inventory Piles Up

Property experts in India now expect unsold luxury inventory to rise or remain elevated as demand from wealthy buyers cools, according to June 2025 reporting. Premium homes—priced above 10 million rupees, nearly 40 times average per capita income—were driven by wealthy demand through 2025. But rising inventory alongside softening absorption mirrors China's post-2021 luxury collapse: prices held firm while liquidity deteriorated and repricing arrived suddenly. For investors in Indian developer credit or listed builders, the divergence between headline price strength and slowing high-end transactions remains underpriced.