Tier-II cities have outperformed metropolitan cities in real estate appreciation, with an average capital appreciation of 17.6% surpassing Delhi's 15.7%, as per Magicbricks report.
North Indian cities like Kanpur and Lucknow lead in year-on-year capital appreciation at 24.53% and 22.61% respectively, attributed to high demand and affordable rates.
Factors supporting real estate investments in Tier-II cities include extensive infrastructure development, affordability, rising demand for quality housing, economic and industrial expansion, and reverse migration.
The trend towards Tier-II cities is driven by improvements in infrastructure, industrial investments, and a preference for better quality of life, marking a shift in India's real estate landscape.