Thane is no longer the sleepy, low-rise neighbour of Mumbai. With a population of 13 million, it’s the largest district in India—and it’s transforming fast. The city has seen a wave of modern housing, new business parks, and major infrastructure projects in the works. Home prices in Thane have risen 4% year-on-year to an average ₹ 13,078 / sq ft, while long-run total returns (capital appreciation plus rent) average 8% per annum.
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But there are also challenges. Unsold inventory is growing, many projects are facing delays, and performance varies widely across different local areas.
This article connects the key facts and figures to help you decide if Thane should be part of your 2025 investment strategy.
Macro fundamentals of Thane
Thane covers 147 square kilometers and is located right in the center of the Mumbai Metropolitan Region (MMR). It’s well connected by major roads like the Eastern Express Highway, NH-48, and some of India’s busiest suburban railway lines. In just the first quarter of 2025, Thane saw the sale of over 16,000 homes worth nearly ₹11,000 crore.
On the commercial side, Thane accounted for 10% of Mumbai’s office space demand.
What’s driving this growth?
- Office rents in places like Wagle Estate and Majiwada are much more affordable—₹90 to ₹140 per sq. ft., compared to ₹300 to ₹500 in Mumbai’s business districts like BKC.
- 2.7 million square feet of commercial property under construction leaves businesses with an abundant supply.
- A large number of professionals in IT, banking, and finance live in Thane and commute to central Mumbai.
- Residential prices in Thane are still 40–60% cheaper than similar areas inside Mumbai city like BKC.
- Rental yield for commercial properties is 5.6% – 9.0% whereas for residential property is 3.9% to 5.8%.
Performance snapshots of thane key areas
| Micro-market | Avg. Price (Mar 2025) | 10-yr Total Return | Current Outlook |
| Navi Mumbai | ₹ 21,365 / sq ft | 9% p.a. | Neutral |
| Thane City | ₹ 18,645 / sq ft | 8% p.a. | Positive |
| Mira-Bhayandar | ₹ 14,309 / sq ft | 7% p.a. | Neutral |
| Bhiwandi | ₹ 6,844 / sq ft | 7% p.a. | Neutral |
| District Avg. | ₹ 13,078 / sq ft | 8% p.a. | Neutral |
Prices have compounded faster in infrastructure-linked corridors such as Kolshet and Ghodbunder Road, whereas peripheral zones with slower infra delivery are lagging.
Demand–supply balance
In Q1 2025, new housing launches in Thane saw a 20% decline. Despite this dip, the district still boasts over 3,34,809 unsold units, the highest among all tier-1 cities in India. Of these, 58,724 units within Thane City are ready for immediate possession.
This surplus of available properties puts buyers in a favorable position, giving them the leverage to negotiate better prices and terms. Especially in large township projects, where the competition among developers to sell their units is high, buyers can expect attractive deals and added perks. It’s a unique opportunity for those looking to invest in Thane’s real estate market.
| Area | New Launches | YoY % | Sold Units | YoY % | Unsold Units | YoY % |
| Thane City | 582 | -80% | 3,778 | 3% | 58,724 | -1% |
| Mira-Bhayandar | 1,530 | -52% | 1,755 | 14% | 32,971 | -1% |
| Navi Mumbai | 713 | 206% | 686 | -3% | 16,622 | 5% |
| Bhiwandi | 1,240 | 280% | 1,731 | -22% | 34,674 | -7% |
Thane’s Rental Yield
Thane’s rental market is performing much better than many other suburbs of Mumbai. A typical 2 BHK flat rents for ₹35,000 to ₹50,000 per month. This gives a net rental yield of 3.9% to 5.8% on a ₹1 crore property.
| Project | Current Status | Revised Completion Date |
| Mumbai Metro Line 4 (Kasarvadavali to Wadala) | Delayed (79% Completion) | Phase 1: Dec 2025 |
| Mumbai Metro Line 5 (Kapurbawdi to Kalyan) | Delayed | 2026 |
| Mumbai Metro Line 10 (Gaimukh to Mira Road) | Delayed | 2027 |
| Thane Ring Metro | In Progress | – |
| Ahmedabad–Mumbai Bullet Train | Delayed | 2030 |
| Thane–Borivali Twin Tunnel | In Progress | – |
| Thane Coastal Road (Balkum to Gaimukh) | Delayed | 2028 |
| Airoli–Katai Naka Road | Delayed (Phase 1: 92%, Phase 2: 82%) | Phase 1 & 2: Late 2025 / Early 2026 |
Persistent slippage is the rule, not the exception. Investors should therefore price in 2–3-year cushions on official timelines.
Should you buy in Thane?
Thane offers a Mumbai-like lifestyle at more affordable prices. It has a track record of solid long-term returns and is building a strong commercial presence. But it also comes with risks—like the highest number of unsold homes in India and delays in many construction projects.
Few things to remember :
- Focus on areas with clear infrastructure progress like Kolshet and Ghodbunder Road.
- Focus on corridors with tangible infra spend and low vacancy rather than announced mega-projects.
- High unsold stock allows 3–5% discounts and flexible payment plans in large schemes. But be ready to wait through the construction phase.
- Pair a yielding office at Wagle Estate with a capital-growth residential unit in Kolshet for portfolio balance.
- Most connectivity projects will mature only post-2027; patience will be rewarded through back-ended gains.
- Limit real-estate exposure to 30–40% of net worth; maintain liquidity for overruns or delayed possession.
With so many homes available, it’s a buyer’s market—use this to your advantage to negotiate better deals. If done carefully and with patience, Thane can still give you both property value growth and rental income in 2025 and beyond.
