<p>Bengaluru: Indian real estate is set to become a $10 trillion industry by 2047, contributing nearly one-fifth of the country's GDP, according to projections by the Confederation of Real Estate Developers Associations of India (CREDAI) and Colliers.</p><p>In a joint report, "Indian Real Estate: Fostering Equity and Fuelling Economic Growth", CREDAI and Colliers underline four critical drivers of this growth: rapid urbanisation, large-scale infrastructure development, affordable housing demand, and digital transformation. It also highlights how equitable growth in real estate can bridge gaps across regions, bringing Tier-2 and Tier-3 cities into the mainstream of development.</p>.Union Budget 2025 wish list: Income tax rate on affordable housing projects should be fixed at 15%, says CREDAI.<p>The report emphasises that policy support, transparent governance, and green urban planning will be essential for unlocking the sector's full potential, while also positioning it as a major contributor to job creation and wealth generation.</p><p>"Today, with real estate contributing nearly 8% to India’s GDP and employing millions, the sector is no longer just about housing and commercial spaces—it is about enabling inclusive urbanization, fostering sustainability, and catalyzing equitable growth across Tier I, II, and III cities alike," said Shekhar G Patel, President, CREDAI National.</p><p>"The journey ahead holds the promise of even greater transformation, as we align ourselves with the vision of a US $35-40 trillion economy by 2047, where real estate alone could potentially contribute US $5-10 trillion," he said.</p><p>The Indian real estate sector is likely to be anchored by strong demand across multiple asset classes including residential, commercial, industrial & warehousing, data<br>centers, retail, hospitality etc. - each contributing to development of resilient, future-ready communities. Unlocking this next phase of growth will require a seamless alignment of progressive policy reforms, sustained capital inflows and technological innovation, said Badal Yagnik, Chief Executive Officer, Colliers India.</p><p>India’s real estate sector has evolved significantly, from a largely fragmented and unorganized sector in the 1990s to a more transparent and accountable growth driver today. Over the years, its contribution to India’s Gross Domestic Product (GDP) has steadily increased from less than 5% prior to 2010 to around 6–8% in recent years. The sector contributed close to US $0.3 trillion in terms of value addition to the Indian economy in 2025, the report said.</p><p>The period between 1990 and early 2000s, marked by the fruition of liberalization policies, laid the foundation for development of new urban hubs in India. It also saw a rise in private sector participation in infrastructure, real estate and construction activities. Despite facing global disruptive events in the form of the Asian Tiger Crisis & India’s realty sector soars more than fivefold since 2010 Dot-com Bubble of the 1990s and the 2007-08 Global Financial Crisis, Indian real estate continued to expand and formalize, demonstrating resilience and adaptability.</p><p>In the previous decade, regulatory reforms such as Real Estate (Regulation & Development) Act (RERA), Goods & Services Tax (GST), Real Estate Investments Trusts (REIT) regulations etc., have substantially enhanced transparency and efficiency across real estate asset classes.</p><p>The real estate sector in India has witnessed notable growth in institutional investments over the years. In the last 15 years, investment inflows have touched nearly US $80 billion with strong capital from foreign players (57% share). Interestingly, domestic capital has been emerging as a key driver post pandemic, indicating a strong shift in the investment landscape across asset classes.</p>
<p>Bengaluru: Indian real estate is set to become a $10 trillion industry by 2047, contributing nearly one-fifth of the country's GDP, according to projections by the Confederation of Real Estate Developers Associations of India (CREDAI) and Colliers.</p><p>In a joint report, "Indian Real Estate: Fostering Equity and Fuelling Economic Growth", CREDAI and Colliers underline four critical drivers of this growth: rapid urbanisation, large-scale infrastructure development, affordable housing demand, and digital transformation. It also highlights how equitable growth in real estate can bridge gaps across regions, bringing Tier-2 and Tier-3 cities into the mainstream of development.</p>.Union Budget 2025 wish list: Income tax rate on affordable housing projects should be fixed at 15%, says CREDAI.<p>The report emphasises that policy support, transparent governance, and green urban planning will be essential for unlocking the sector's full potential, while also positioning it as a major contributor to job creation and wealth generation.</p><p>"Today, with real estate contributing nearly 8% to India’s GDP and employing millions, the sector is no longer just about housing and commercial spaces—it is about enabling inclusive urbanization, fostering sustainability, and catalyzing equitable growth across Tier I, II, and III cities alike," said Shekhar G Patel, President, CREDAI National.</p><p>"The journey ahead holds the promise of even greater transformation, as we align ourselves with the vision of a US $35-40 trillion economy by 2047, where real estate alone could potentially contribute US $5-10 trillion," he said.</p><p>The Indian real estate sector is likely to be anchored by strong demand across multiple asset classes including residential, commercial, industrial & warehousing, data<br>centers, retail, hospitality etc. - each contributing to development of resilient, future-ready communities. Unlocking this next phase of growth will require a seamless alignment of progressive policy reforms, sustained capital inflows and technological innovation, said Badal Yagnik, Chief Executive Officer, Colliers India.</p><p>India’s real estate sector has evolved significantly, from a largely fragmented and unorganized sector in the 1990s to a more transparent and accountable growth driver today. Over the years, its contribution to India’s Gross Domestic Product (GDP) has steadily increased from less than 5% prior to 2010 to around 6–8% in recent years. The sector contributed close to US $0.3 trillion in terms of value addition to the Indian economy in 2025, the report said.</p><p>The period between 1990 and early 2000s, marked by the fruition of liberalization policies, laid the foundation for development of new urban hubs in India. It also saw a rise in private sector participation in infrastructure, real estate and construction activities. Despite facing global disruptive events in the form of the Asian Tiger Crisis & India’s realty sector soars more than fivefold since 2010 Dot-com Bubble of the 1990s and the 2007-08 Global Financial Crisis, Indian real estate continued to expand and formalize, demonstrating resilience and adaptability.</p><p>In the previous decade, regulatory reforms such as Real Estate (Regulation & Development) Act (RERA), Goods & Services Tax (GST), Real Estate Investments Trusts (REIT) regulations etc., have substantially enhanced transparency and efficiency across real estate asset classes.</p><p>The real estate sector in India has witnessed notable growth in institutional investments over the years. In the last 15 years, investment inflows have touched nearly US $80 billion with strong capital from foreign players (57% share). Interestingly, domestic capital has been emerging as a key driver post pandemic, indicating a strong shift in the investment landscape across asset classes.</p>