Indian housing market poised to reach $1 Trillion by 2030

New Delhi (The Uttam Hindu): The housing sector in India is poised for significant growth with expectations to contribute 13% to the national GDP by 2025. This marks the sector's resilience and potential according to a recent report released on Friday. By 2030, the housing market is projected to reach $1 trillion, driven by demographic shifts, policy reforms, and global trends. Tier 2 and 3 cities are emerging as key growth hubs. Smaller urban centres such as Jaipur, Indore and Kochi are expected to account for over 40% of new housing developments by 2025. In addition the urban homeownership rate is predicted to rise to 72% by 2025 up from 65% in 2020. This increase will be supported by affordable financing options and a younger demographic entering the housing market. Millennials and Gen Z are expected to comprise 60% of new homebuyers by 2030 reshaping the landscape of homeownership. Furthermore sustainability is no longer a luxury but a necessity in the housing market. Green-certified buildings are projected to make up 30% of new residential projects by 2025 doubling from 15% in 2020.

The housing market has already seen impressive growth with residential unit sales in 2024 projected to represent 85% of the total units sold in 2023. This marks a 17% increase compared to the previous year, signaling strong demand and paving the way for sustained growth in India's residential sector. Mixed-use developments, combining residential, commercial and recreational spaces are becoming increasingly popular, reflecting a global trend toward live-work-play environments. Additionally the demand for smart homes and tech-integrated living spaces is rapidly rising, further shaping the future of India's housing market.