Despite a global cooling in prime residential price growth—averaging 2.3% annually compared to 3.5% in Q1 2025—Indian cities remain resilient, reflecting strong demand, limited prime supply, and sustained wealth creation in urban centres.

Globally, Seoul led the rankings with 25.2% annual growth, followed by Tokyo (16.3%) and Dubai (15.8%). Bengaluru secured the 4th position worldwide, with Mumbai and Delhi at 6th and 15th respectively.

Shishir Baijal, Chairman & Managing Director, Knight Frank India, said, “India’s prime residential markets have shown remarkable resilience, standing out in a year when global growth momentum has eased. Bengaluru’s tech-driven wealth creation, Mumbai’s renewed infrastructure-led appeal, and Delhi’s steady luxury demand have collectively kept India in the global spotlight. We anticipate that continued economic stability, urban redevelopment, and the appeal of prime assets as long-term wealth stores will support price growth in the months ahead.”

Liam Bailey, Knight Frank’s Global Head of Research, commented, “Prime markets are taking a collective breath. The recovery we have seen over recent quarters was aided by the expectation of lower borrowing costs, and with that timeline now pushed out, a cooling in price growth is inevitable. We’re seeing a more fragmented market, with some European cities showing surprising strength while former high-flyers in Asia begin to level off.”

The Prime Global Cities Index is a valuation-based index tracking the movement of prime residential prices across 46 cities worldwide using data from Knight Frank’s global research network.