Market data by real estate consulting firm ANAROCK Group states the luxury second-home market segment is valued at over USD 3 billion, growing at more than 20 per cent annually.
Second homes in India are undergoing a decisive shift, from being seen as passive assets or occasional holiday getaways to becoming active lifestyle choices. The rise of work-from-anywhere models, flexible corporate policies, and a growing base of entrepreneurs and consultants has untethered the idea of home from a fixed office location. As a result, buyers are increasingly comfortable treating second homes as semi-primary residences, spending extended periods away from metropolitan areas without disrupting their work or income. This shift reflects a bigger change in priorities, where quality of life, space, and everyday liveability are taking precedence over proximity to traditional business districts.
Luxury second-home market segment is valued at over USD 3 billion
Market data by real estate consulting firm ANAROCK Group states the luxury second-home market segment is valued at over USD 3 billion, growing at more than 20 per cent annually. Particularly, tier 2 and 3 cities are emerging as the unlikely winners of this lifestyle-led housing shift, driven by a mix of economic logic and everyday liveability. Compared to overstretched metros, these markets offer significantly lower land and housing costs, allowing buyers to upgrade to larger homes without stretching budgets.
Equally important is the improvement in quality-of-life indicators: cleaner air, reduced congestion, and a more measured pace of living. Cities such as Lucknow, Tricity, Dehradun, Coimbatore, and Indore are no longer viewed as secondary options; they are increasingly being chosen for their community-centric environments and the promise of a more balanced, sustainable way of life.
“Across Tier-II and Tier-III cities, we’re seeing a clear behavioural shift; buyers are no longer purchasing second homes purely for leisure. In cities like Lucknow, people want a quieter, more balanced life without giving up urban comforts. Work-from-anywhere has blurred the line between primary and secondary residences. Families are spending longer stretches here, sometimes even relocating permanently. What’s driving this is affordability, improved civic infrastructure, and the emotional pull of living closer to roots. A second home today is not an escape; it’s a conscious lifestyle upgrade that aligns with how people want to live and work going forward,” said Preksha Singh, CEO, Agrasheel Infratech.
According to Piyush Kansal, Executive Director, Royale Estate Group, the Tricity region has become a textbook example of how second homes are evolving into full-time lifestyles.
“Buyers here aren’t looking for holiday homes; they want well-planned communities with space, greenery, and long-term liveability. What makes Tricity attractive is the balance: strong social infrastructure, proximity to hills, and a calm yet urban environment. We see professionals splitting time between metros and Tricity, often spending more months here than in their primary city. This is pushing developers to design homes for everyday living, not seasonal use,” Kansal said.
Better accessibility increases buyers’ confidence
Moreover, infrastructure has emerged as the decisive catalyst accelerating the shift towards second homes as long-term living choices. The expansion of expressways, upgraded airports, metro rail networks, and reliable digital connectivity has sharply reduced both the physical and psychological distance between metros and emerging cities. As accessibility improves, so does buyer confidence, encouraging a new cohort of second-home owners to enter the market. This buyer profile is led by mid-to-senior professionals, startup founders, consultants, NRIs, and business families who are no longer constrained by daily office commutes. Their preference is clearly tilting towards independent floors, villas, plotted developments, and well-managed gated communities that offer privacy, space, and year-round liveability.
“Infrastructure is the single biggest enabler behind the surge in second-home investments across emerging cities. New expressways, better airport connectivity, metro extensions, and reliable digital infrastructure have fundamentally changed accessibility. When a city is two to three hours away from a metro and digitally well-connected, it becomes viable for year-round living. This has transformed second homes into high-conviction investments rather than aspirational purchases. Investors are seeing strong appreciation potential, while end-users value the flexibility of living and working remotely. Infrastructure doesn’t just connect cities; it changes buyer confidence and long-term commitment,” Ankit Kansal, Founder and MD, Axon Developers, concluded.
