Unsold luxury homes (priced above 2.5 crore) in Mumbai have seen a 36% rise in the first quarter of 2025, with approximately 8,420 units remaining unsold by the end of the quarter. This marks a significant increase compared to the previous year. In Q1 2024, the unsold luxury stock had dropped to around 6,180 units, reflecting a 53% year-on-year decrease.

The first quarters of 2023 and 2024 have seen notable declines in unsold luxury stock, with a decrease of 29% in Q1 2023 compared to Q1 2022. The luxury segment had been on a downward trajectory, but the recent rise in unsold units signals a shift.

The rise in unsold luxury homes is attributed to the significant number of new units introduced into the market. While demand for luxury homes remains strong, challenges such as high prices and global economic uncertainties have impacted sales in the last year.

In a positive development, the Maharashtra State Revenue Department reported record-high property registration revenues for the period between January and May 2025. The total revenue from property registrations in Mumbai reached 5,695 crore, reflecting a 17% increase from the same period in 2024. Additionally, the number of property registrations hit 64,461, marking a 6% increase from last year.

Despite the overall sluggishness in the housing market in Q1 2025, the increase in property registration revenues and transactions suggests a steady recovery in the market. March 2025 stood out with the highest property registrations in three years, significantly surpassing numbers from the COVID-19 period when stamp duties were reduced. The total registration revenue in March 2025 exceeded 1,589 crore, indicating sustained demand in Mumbai’s real estate sector.