Delhi, India | 29th January 2026: Budget 2026 is emerging as a crucial turning point for India’s real estate sector as the gap between the booming luxury housing segment and the stressed affordable and mid-income housing market continues to widen. While premium and high-end homes have sustained strong demand and capital inflows, affordable housing — vital for first-time buyers and the urban workforce — is under pressure due to rising land prices and construction costs.
Against this backdrop, developers and industry leaders are closely watching Budget 2026 for policy measures that can restore balance across the housing ecosystem. The focus is on improving affordability, strengthening buyer confidence, and supporting inclusive urbanisation, while ensuring sustained growth in premium and luxury housing.
Deepak Kapoor, Director, Gulshan Group, highlights the need for policy certainty. He says quality-driven and design-intensive housing projects involve longer gestation periods and higher capital investment. The sector expects stability in GST on construction inputs, clarity on works contracts, and uniform compliance norms. Granting industry status to real estate could significantly improve access to structured financing, boost investor confidence, and help align Indian real estate with global standards.
Sanjay Sharma, Director, SKA Group, points to affordability as a core concern. He notes that rationalising stamp duty and simplifying tax structures could reduce the financial burden on homebuyers and encourage faster purchase decisions. Alongside continued home loan incentives, these reforms could strengthen end-user demand and ensure sustainable sectoral growth.
Saurab Saharan, Group Managing Director, HCBS Developments, believes Budget 2026 offers an opportunity to align policy with the sector’s economic contribution. He reiterates the long-standing demand for industry status, which would lower the cost of capital and improve access to organised funding. He also calls for a dedicated revival fund for stalled housing projects at central and state levels to fast-track completion, restore buyer confidence, and ensure timely delivery of homes.
Rakesh Kaul, CEO & Managing Director, Ralith Realty, stresses the link between housing demand and infrastructure development. He says targeted investments in connectivity, urban utilities, and social infrastructure can unlock new residential markets and promote balanced urban growth beyond traditional city centres. A strong infrastructure push supported by execution-focused reforms could act as the next major catalyst for housing growth.
Ashok Singh Jaunapuria, Managing Director & CEO, SS Group, expects Budget 2026 to adopt a more buyer-centric approach. He notes that tax benefits and eligibility thresholds have not kept pace with rising property prices. Revisiting ownership-linked tax incentives and improving financing support can boost end-user demand. Faster and more transparent approval systems, he adds, are equally important to enhance delivery timelines and strengthen buyer trust.
Mohit Batra, Regional Director, Realistic Realtors, says the policy direction in recent budgets has improved stability and transparency in real estate. However, he urges the government to reassess tax deductions and income limits that no longer reflect present-day property values or loan sizes. Enhanced tax incentives could ease decision-making for homebuyers and improve market absorption, while continued infrastructure investment remains essential for urban expansion.
Viren Mehta, Founder & Director, ElitePro Infra, believes long-term sectoral growth depends on expanding home ownership beyond the luxury segment. He advocates higher tax relief on housing loans, particularly under Section 80C, to benefit first-time buyers and upgraders. Incentivising developers to build affordable housing in metro peripheries and tier-2 cities, where demand is strong but margins are tight, is also crucial. Regulatory consistency and faster approvals would further improve execution and buyer confidence.
Harjeet Singh Sahni, CMD, Solitairriann Group, observes that commercial real estate is increasingly driven by quality and operational efficiency rather than scale alone. Supportive policies that improve access to funding, rationalise taxes on construction materials, and simplify approval processes would enable developers to invest in next-generation assets. Industry status for real estate could also encourage greater institutional participation and deepen the sector’s contribution to economic growth.
Goldi Arora, Co-founder & Managing Director, Property Master, says Budget 2026 will be judged on how effectively it translates policy intent into real housing momentum. Many buyers are delaying purchases not due to lack of demand, but because of uncertainty around approvals, financing, and post-tax costs. A single-window clearance system could reduce execution risk, while stronger tax incentives for first-time buyers may unlock pent-up demand in entry and mid-income segments.
As Budget 2026 approaches, the real estate industry is seeking clear and forward-looking policy signals to bring coherence to housing, taxation, and urban development strategies. Rather than disruptive changes, the sector expects a calibrated framework that sustains growth momentum, improves affordability, and supports India’s long-term urban development journey.
