India’s housing sector is poised for steady growth, with prices expected to rise between 5% and 10% annually over the next few years, according to a report by the Confederation of Indian Industry (CII) and Colliers. The report attributes this trend to robust demand driven by a young working population, rapid urbanisation, and rising disposable incomes.
The study projects that India’s residential demand will reach around 500,000 housing units per year by 2030 and could double to nearly one million units by 2047. The growth momentum will be supported by favourable demographics, higher household earnings, and housing-friendly government policies. Affordable housing will remain a key focus as more Indians reach the prime homeownership age, while the ageing demographic is expected to fuel demand for senior living communities.
Luxury housing is also set to expand, propelled by an increasing number of high-net-worth individuals and growing investments from non-resident Indians (NRIs). The report highlights that India’s property market is becoming more mature, with buyers showing greater trust in reputed developers and projects backed by transparent governance and regulatory standards.
Infrastructure improvements, including the expansion of metro networks, highways, and airports, along with government incentives, are likely to sustain this positive trajectory. Tier-II and Tier-III cities are emerging as new real estate hotspots—particularly those evolving into cultural or spiritual centers. These cities are attracting investors and homebuyers seeking affordable yet modern living spaces.
In major metros like Mumbai, Bengaluru, and Delhi-NCR, redevelopment projects are gaining traction. Supported by flexible zoning policies and transferable development rights, such projects aim to bridge the gap between rising demand and limited urban land availability.
The CII–Colliers report forecasts India’s real estate market to grow from its current $300 billion valuation to approximately $10 trillion by 2047. This exponential growth is expected not only in residential and commercial spaces but also across alternative segments like logistics hubs, senior living, data centers, and technology parks.
Overall, India’s real estate landscape appears set for transformation—driven by demographic shifts, policy reforms, and expanding infrastructure that promise a dynamic, inclusive, and future-ready housing ecosystem.
