A significant increase in residential prices has been reported, with a rise of 59% over four years. This growth far exceeds the increase in construction expenses, which rose by 34% during the same period. Factors such as land prices and demand-supply dynamics are contributing to this trend.

The gap between construction costs and residential prices is widening, affecting homebuyers and developers. Construction costs have risen from a certain amount per square foot in 2021 to a higher amount in 2025.

Further details on this trend are available from Anarock Research, which tracked the changes in India's top seven cities between 2021 and 2025.