India's real estate sector is poised for remarkable growth, projected to reach a market size of $4.8 trillion by 2047, up from the current $300 billion. This growth is expected to contribute 18% to the estimated $26 trillion GDP by 2047, according to a joint report by Credai and EY. PropTech, a key driver of this transformation, is forecasted to expand its market size from $10.5 billion to an impressive $600 billion by 2047, significantly impacting the sector.
The integration of technologies such as Artificial Intelligence (AI), Internet of Things (IoT), and Building Information Modelling (BIM) is revolutionizing the real estate value chain. These innovations are streamlining operations, boosting efficiency, and enhancing transparency. Currently, PropTech represents less than 5% of the real estate market but is anticipated to account for 12-13% by 2047, reflecting its growing importance as a driver rather than just a facilitator.
The report highlights the need for redefining affordable housing in India. Rising costs and inflation have rendered the existing definition unviable. Credai has proposed increasing the affordable housing threshold to ₹90 lakh and suggested flexible GST schemes to benefit developers. The organization also emphasized the importance of effective zoning and streamlined land acquisition policies to ensure land availability and advocated for the development of planned satellite towns to ease urban congestion.
As India marches towards its vision of "Viksit Bharat" by 2047, the real estate sector is expected to play a pivotal role. The focus on sustainable methodologies, urbanization, and technology integration positions the sector at the core of India's economic growth, ensuring a balanced and inclusive development trajectory.
© 2023 Rera News. All rights reserved.