Thane's Residential Property Prices Have Increased by 46% over the Last Three Years, with 2BHK Houses Comprising a Majority of New Developments
**Boom in Thane's Residential Real Estate Market: A Closer Look**
Thane, a city once known as a modest suburb, has emerged as a leading real estate hub in the Mumbai Metropolitan Region (MMR). The transformation is attributed to substantial infrastructure development, rapid price appreciation, a focus on compact and affordable housing, and robust demand for new developments.
**Infrastructure Development Boosts Accessibility**
Improved transport connectivity, roads, and civic amenities have played a pivotal role in Thane's growth. These upgrades have not only enhanced accessibility but also boosted confidence among homebuyers seeking well-connected yet affordable alternatives to Mumbai's prime markets.
**Price Appreciation Fuels Investor Interest**
Residential prices in Thane have surged 46% between Q2 2022 and Q2 2025, rising from INR 13,550 to INR 19,800 per square foot. Since 2020, prices have climbed approximately 60%, significantly outpacing many other MMR submarkets. This rapid appreciation is drawing both investors and end-users seeking capital growth opportunities.
**Compact and Affordable Housing Gains Favour**
There is a clear preference for compact, value-for-money housing in Thane. 45% of the 65,800 units launched between FY 2020 and FY 2025 are 2BHK apartments, followed by 42% 1BHKs. Developers are focusing on offering modern amenities and quality finishes at price points significantly lower than Mumbai’s core areas, making Thane attractive to a broad segment of buyers.
**Demand for Under-Construction Properties Soars**
In 2025, demand for under-construction homes is outstripping ready-to-move-in inventory. Buyers are drawn to newer projects that promise better amenities and modern designs at comparatively lower costs, reflecting confidence in Thane’s future growth trajectory and the willingness of buyers to wait for delivery in exchange for value.
**Thane: A "Rising Star" in MMR**
Between FY 2020 and FY 2025, the new housing supply in Thane grew by approximately 103%. The dominant budget range for residential properties in Thane is INR 80 lakh to INR 1.6 Cr. As of Q2 2025-end, the average residential price in Thane stands at INR 19,800 per sq. ft. In comparison, a similar 2BHK home in the western suburbs of Mumbai costs around INR 2.36 Cr.
In Q1FY 2026, Thane saw approximately 3,130 residential units sold, while new supply stood at 2,910 units. Thane now has 89 residential skyscrapers of 40+ floors, redefining the MMR housing landscape.
Sources: [1] _The Times of India_ [2] _India Today_ [3] _Economic Times_ [4] _Mumbai Mirror_
Financing the Housing-Market Growth: A Key ConcernAs Thane's real-estate market continues to boom, affordable financing options have become increasingly important for homebuyers and investors alike.
Investment in Infrastructure Enhances Real-Estate ValueThe significant investment in infrastructure development not only increases Thane's accessibility but also bolsters the value of its real-estate, making it an attractive destination for both short-term and long-term investments in the housing-market.
