IGI Logo

Below the Pre-Budget Expectations Insights 2026 on India`s Next Real Estate Chapter: What Will Shape Housing, Investment & Cities in 2026 by Ashish Narain Agarwal, Founder & MD of PropertyPistol

“India’s urban housing market is undergoing a sharp shift, with affordability declining and premium demand rising. HNI and NRI buyers now contribute ~18–20% of property investments, up from 7–10% a decade ago. Affordable housing (below ?45 lakh) has fallen from ~37% in 2021 to ~18% in 2025, while luxury homes (above ?1.5 crore) have increased from 9% to 29%. This mirrors a 50% rise in average prices across top cities over five years—from ?6,001/sq ft to ?8,990/sq ft. With urbanisation projected at ~9.2% CAGR through 2028, policy reforms are critical. The affordable housing cap must reflect evolving consumer patterns. Tax rationalisation—including unified capital gains, GST reduction on under-construction homes from 18% to 12% (ideally 5%), and uniform stamp duty—can unlock liquidity. Enhanced benefits for first-time buyers by 15–25%, along with full industry and infrastructure status, would attract institutional investment.”

Above views are of the author and not of the website kindly read disclaimer