2024 saw a robust recovery in India’s real estate sector, with residential demand reaching an 11-year high and office leasing hitting a record 53.3 million square feet. However, affordable housing faced challenges, with its share of sales dropping from 38% in 2019 to just 18%. For 2025, we expect the Union Budget to focus on infrastructure status for housing, affordable financing, and reviving the affordable housing segment through reforms like reintroducing the Credit-Linked Subsidy Scheme and revising price caps to reflect market realities.
Piyush Rambhia, partner at Palladian partners ltd.