India’s Real Estate Eyes Steady, Sustainable Growth Path in 2026

India’s real estate sector is set for measured yet sustainable growth in 2026, backed by strong economic fundamentals, expanding premium housing demand, and resilient commercial and logistics segments, industry experts said on Friday.

After navigating global and macroeconomic challenges in 2025, the sector is expected to enter a phase of recalibration and renewed momentum. India’s robust GDP growth of 8.2 per cent in Q2 FY26 has reinforced investor confidence and strengthened prospects across residential, commercial, and retail real estate.

Experts say supportive government policies, including GST rationalisation, income tax revisions, and the RBI’s repo rate cut to 5.25 per cent, will further stimulate demand. Office markets are projected to remain strong, with 75–80 million sq ft of leasing expected in 2026, driven by Global Capability Centres, IT-ITeS, BFSI, and flexible workspace operators. Tier-II and Tier-III cities are also emerging as new growth engines, supported by improved connectivity and infrastructure, positioning Indian real estate for long-term, balanced expansion.