Mumbai Real Estate: When Luxury Soars and Affordability Crumbles

GG News Bureau
Mumbai, 25th Oct: Mumbai, India’s financial capital, is witnessing a striking paradox in its real estate market in 2025. On one hand, the ultra-wealthy are sealing record-breaking luxury property deals; on the other, middle-class buyers are finding it increasingly impossible to afford even a modest studio apartment. The imbalance is deepening the affordability crisis in the city’s housing economy.

Earlier this year, a sea-facing apartment in Worli sold for over ₹600 crore, pushing the per square foot price to an astounding ₹3 lakh. However, at the opposite end of the spectrum, the situation is grim. Even in the city’s outer suburbs, ₹50–60 lakh can now barely buy 200 square feet of space.

According to property data firm Zapkey.com, the surge in prices has been relentless. In Dahisar West, a 235 sq. ft. studio apartment recently sold for ₹62 lakh — over ₹26,000 per sq. ft. Even areas once considered affordable are now slipping beyond the reach of first-time buyers. In Dadar, central Mumbai, a 160 sq. ft. apartment sold for ₹49 lakh (₹30,000 per sq. ft.), while in the traditionally mid-range eastern suburbs, a 259 sq. ft. unit fetched ₹68 lakh, again crossing the ₹26,000 per sq. ft. mark.

In Bandra West — home to several Bollywood celebrities — a 270 sq. ft. studio apartment recently touched ₹83 lakh, crossing ₹30,000 per sq. ft. The trend underscores that even the smallest spaces in Mumbai now command premium pricing.

This widening gap isn’t new. Last year, actor Abhishek Bachchan purchased six apartments in Borivali worth over ₹16 crore, two of which measured just 252 sq. ft. each — reflecting the growing dominance of compact “1 RK” units across the city.

The data paints a clear picture: whether it’s a sky-high penthouse or a 200 sq. ft. studio, property ownership in Mumbai has become a dream measured in square feet and soaring prices. In this city, even “affordable housing” is fast turning into a luxury.