Time to buy a property in India down to 26 days, ultra-luxury homes selling faster

The average conversion time to buy a property in India has dropped to 26 days in the first half of FY25, compared to the peak of 33 days in FY 2021. Housing has emerged as the most preferred investment option, driven by rising disposable incomes and strong economic activity in the country, according to a report released on Monday.

Ultra-luxury homes (priced at Rs 3 crore and above) saw the lowest conversion time, averaging just 15 days in H1 FY25. This is a reduction of one week from 22 days in FY24, according to Anarock Group data.

Buyers of homes priced between Rs 50 lakh and Rs 1 crore took the most time to make a purchase, averaging 30 days, while homes priced between Rs 1 crore and Rs 3 crore had an overall conversion time of 27 days in H1 FY25.

The lead-to-conversion time (from initial inquiry to final booking) was lowest at 25 days in both FY 2019 and FY 2024, according to the data.

“Ultra-luxury home buyers are financially equipped to make quicker decisions. Additionally, high-end homes are currently in great demand, and desirable inventory tends to sell out fast, requiring a faster decision-making process,” said Anuj Puri, Chairman of Anarock Group.

Affordable homes saw only a minor reduction in conversion time, dropping from 27 days in FY 2024 to 26 days in H1 FY 2025.

The shorter conversion time in recent years reflects strong demand, as buyers today take less time to make purchase decisions compared to FY21. This shift is also attributed to an increase in supply from branded developers, which has boosted buyer confidence, the report noted.

“Even with these decreases in lead-to-buy periods, it is unlikely that we will see any significant incremental changes in this process overall,” Puri added.

Indian home buyers continue to approach property purchases cautiously, given the substantial financial commitment involved.