Under-Construction Homes Now Costlier Than Ready-to-Move Properties

NEW DELHI:
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 INR 18,698 per sq. ft., while under-construction homes have surged to INR 25,921 per sq. ft. A similar pattern is evident in Gurugram, where average price of UC homes has reached INR 17,185 per sq. ft., significantly higher than RTM properties at INR 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 INR 32,371 per sq. ft., compared to RTM home prices at INR 28,935 per sq. ft.

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.

As the largest platform for buyers and sellers of property to connect in a transparent manner, Magicbricks has monthly traffic exceeding 2 crores and an active base of over 15 lakh property listings. Magicbricks has metamorphosed into a full stack service provider for all real estate needs, with services including home loans, interiors, and expert advice.

With 17+ years of experience and deep research-based knowledge, Magicbricks also presents a repertoire of insight-driven platforms like MBTV – India’s leading online real estate YouTube channel, and other proprietary tools so that home buyers can access all information related to price trends and forecasts, locality reviews and more.