Housing demand, prices set to rise in 2026: Realtors

New Delhi: Almost two-thirds real estate developers expect housing demand in India to grow by more than 5% and prices to rise 10% in 2026, according to a survey that covered 650 developers across India.

Despite global uncertainties, 42% of developers plan to launch more than one million square feet of fresh property next year, and 38% of them are from the National Capital Region (NCR), as per the Credai CRE Matrix Developer Sentiment Survey.

While developers acknowledge near-term pressures in select markets, 83% expect their unsold inventory to sell out completely within the next two years, reflecting confidence in sales velocity and end-user demand.


"The survey highlights steady demand expectations, disciplined supply addition and a sharper focus on long-term value creation," said Abhishek Kiran Gupta, CEO and cofounder of CRE Matrix and IndexTap.

Cost pressures appear to be moderating. Around 65% of surveyed developers said project cost increases have remained below 10%, aided by GST rationalisation, adoption of advanced construction techniques, and increased use of technology and robotics. This has helped developers maintain feasibility while continuing to scale launches.

Shekhar G Patel, president of Credai, said: "Faster approvals and greater regulatory clarity will be critical" to sustain and accelerate the momentum.

"Streamlined clearances can unlock the next phase of housing supply across markets, support timely project delivery, and enable more balanced and sustainable urban growth," he said.

Three-fourths of identified end-user demand as the primary force driving residential real estate in the country. This is followed by brand reputation and developer credibility at 64%, highlighting how much buyers value trusted developers in their purchase decisions.