Quality Gains Ground Over Home Discounts
Key Highlights
- Homebuyers are increasingly prioritising quality and long-term value over discounts.
- High-end housing accounted for around 27% of residential sales in 2025.
- Construction quality, location, connectivity and amenities are gaining importance.
- Greater Noida and Ghaziabad are benefiting from improving infrastructure and connectivity.
- Residential sales volume declined around 8% in 2025, while sales value rose around 15%.
- Developers are facing greater pressure to compete on execution, planning and liveability.
India’s residential real estate market is witnessing a shift in buyer preferences, with homebuyers increasingly focusing on the overall value of a property rather than simply seeking the lowest possible price.
While affordability remains important, buyers are paying greater attention to construction quality, usable space, connectivity, amenities, location and the credibility of developers. The change is particularly visible across urban markets such as Delhi-NCR, where infrastructure expansion is creating new residential and economic centres.
The high-end segment accounted for around 27% of residential sales in 2025, surpassing the mid-end category for the first time. The trend does not necessarily indicate a shift towards luxury housing across the market, but reflects growing expectations around planning, construction standards and overall project quality.
For buyers, quality extends beyond finishes and amenities. Factors such as effective planning, natural light, open spaces, usable layouts and practical facilities are becoming increasingly important. The developer’s track record and ability to deliver as promised are also playing a larger role in purchase decisions.
Location remains another major factor shaping long-term value. In the NCR region, Greater Noida has attracted increasing interest as infrastructure, commercial activity and connectivity expand. Ghaziabad is also benefiting from improving road and public transport links, strengthening its connections with Delhi and other parts of the National Capital Region.
Improved infrastructure can offer benefits beyond property appreciation, including easier access to workplaces, schools, healthcare and other essential services. This makes emerging locations increasingly relevant for both end-users and long-term investors.
The changing preference is also reflected in market performance. While residential sales volumes moderated by around 8% in 2025, the overall value of sales increased by around 15%. This indicates that buyers may be increasingly willing to pay for homes offering stronger quality, better space and greater long-term potential.
The shift is encouraging developers to compete on fundamentals rather than relying primarily on discounts and short-term promotional offers. As NCR continues to expand, projects that combine quality construction, effective planning, connectivity and liveability could have a stronger advantage in attracting discerning buyers.
The next phase of residential growth is therefore likely to be shaped less by the size of a discount and more by the value a property can deliver over the long term. For developers, this makes quality and execution important from the planning stage through project completion.
