Millennials Wish To Own A House Over Renting, Chennai, Ahmedabad Lead Sentiment, Report Reveals

A new wave of homeownership is sweeping across India, with 80 per cent of Indians now expressing a strong preference to own property, according to Knight Frank India’s latest report, Beyond Bricks: The Pulse of Home Buying. The survey was conducted across eight major cities with 1,629 respondents. The survey showed how the post-pandemic consumer has a different outlook on real estate, one with stability, security, and financial planning at the core.

Ownership sentiment was seen to be highest in Chennai at 86 per cent, followed by Ahmedabad at 83 per cent, and the Mumbai Metropolitan Region at 85 per cent. These cities were followed by Bengaluru at 73 per cent, and Delhi-NCR at 74 per cent, comparatively lower, as they were influenced by the relatively higher property prices as well as by the fact that their population is younger and more mobile.

Millennials, High Earners Are Leading the Change

Millennials are the driving force behind this trend, with 82 per cent of them stating they want to own a home. The percentage climbed to 91 per cent among individuals earning over Rs 50 lakh annually. This cohort viewed property not just as shelter but as an investment in stability and generational wealth.

“Homeownership has emerged as a robust and enduring trend, particularly in the post-pandemic period,” said Shishir Baijal, Chairman and Managing Director, Knight Frank India. He attributed the uptick to lowered REPO rates, stamp duty cuts, and broader economic resilience.

Future-Forward: Renters Planning to Buy

While 46 per cent of respondents already owned homes, another 34 per cent are currently renting but planning to buy soon, indicating a strong pipeline of future buyers. 36 per cent of the respondents from Pune, 36 per cent from Bengaluru, and 37 per cent from the NCR region presented specifically high latent demand.

The most common motivators for purchase included upgrading to a better home among 37 per cent of the respondents and first-time buying for end-use for 32 per cent of the participants. Investment purposes account for 25 per cent of buyer motivations, particularly in cities like Bengaluru, at 40 per cent of the respondents and Mumbai MMR, at 34 per cent of the participants.

What Buyers Want: Amenities, Access, and Assurance

Today’s homebuyers are more strategic and discerning. Access to health facilities was cited as the most important external amenity by 58 per cent of respondents. Retail outlets were ranked second (53 per cent), public transportation was third (40 per cent), and nearby schools were ranked fourth (37 per cent). These factors heavily influenced decision-making.

Lifestyle amenities such as gyms (cited by 16 per cent) and community clubs (23 per cent) were ranked lower, not because they are unimportant, but because they are increasingly expected as standard offerings in modern developments.

Under-Construction Properties Lead

A significant 67 per cent of homebuyers preferred under-construction projects, appreciating benefits like flexible payment schedules and modern amenities. This preference was especially strong in Pune (81 per cent), Hyderabad (78 per cent), and Ahmedabad (79 per cent). Meanwhile, only 2 per cent of respondents are interested in resale properties, largely due to concerns about maintenance and quality.

The NCR has registered a unique trend, where 44 per cent prefer under-construction properties, while 39 per cent prefer pre-launch investments, showing a growing trust in developers and early-stage opportunities.

Home loans continued to be the dominant mode of financing for property purchases, used by 79 per cent of buyers. However, regional differences were notable. In Kolkata and MMR, reliance on mortgages reaches 96 per cent and 95 per cent, respectively. By comparison, just 53 per cent of NCR buyers depend on loans, taking recourse instead to help from family (22 per cent) or personal savings (25 per cent).

End of the members of the higher income groups, with 83 per cent of individuals who earned between Rs 10 lakhs and Rs 50 lakh annually preferring home loans. While high earners are also the most likely to use mortgages as a financing mechanism, only 71 per cent of them do so, as per the survey. While 25 per cent used savings to finance their homes, 19 per cent sold other assets to finance their home purchase.