India’s real estate market is witnessing a new pricing trend, with under-construction (UC) homes now outpacing the prices of ready-to-move (RTM) properties across major metros, according to the latest insights from Magicbricks, India’s leading real estate platform.
In Delhi, the average price of a ready-to-move apartment stands at Rs 18,698 per sq. ft., while under-construction homes have surged to Rs 25,921 per sq. ft. A similar pattern is evident in Gurugram, where average price of UC homes has reached Rs 17,185 per sq. ft., significantly higher than RTM properties at Rs 14,617 per sq. ft.
Even Mumbai, India’s costliest real estate market, has followed suit. Under-construction property prices jumped 33.4% YoY in Q1 2025, reaching Rs 32,371 per sq. ft., compared to RTM home prices at Rs 28,935 per sq. ft.
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The rising prices of under-construction homes can be attributed to two key factors. First, evolving buyer preferences have led homebuyers to pay a premium for contemporary designs, superior layouts, and high-quality construction and fittings.
Second, strong post-pandemic homeownership sentiment, combined with increasing raw material costs, has driven up construction expenses, resulting in higher price appreciation for under-construction properties. These factors are reshaping the market, making new developments more expensive than ready-to-move homes.
With residential prices continuing to climb, early investment in under-construction projects could offer long-term value and capital appreciation for buyers and investors alike.
Source: Magicbricks Research
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