The Indian real estate sector is entering a more mature, value-driven phase, shaped by policy reforms, institutional capital, and evolving consumer preferences, industry leaders noted at the ICC Real Estate Summit 2026 – “Powering India’s $5 Trillion Dream”, organised by the Indian Chamber of Commerce (ICC) held on 20th January in New Delhi.
The Summit was graced by Sanjay R. Bhoosreddy, IAS, Chairman, Uttar Pradesh Real Estate Regulatory Authority (RERA) as a Chief Guest. The event also launched the ICC–ANAROCK Report titled “Indian Residential Real Estate: A Review and Road Ahead”, underlining that while housing sales volumes across the top seven cities declined 14% year-on-year to around 3.96 lakh units in 2025, the total transaction value rose 6% to over INR 6 lakh crore, signalling a decisive shift from volume-led to value-led growth.
Addressing the gathering, Sanjay R. Bhoosreddy, IAS, Chairman, Uttar Pradesh Real Estate Regulatory Authority (RERA), emphasised regulatory stability, saying, “Housing is a basic human need and real estate is set to be one of the strongest drivers of India’s and Uttar Pradesh’s economic growth over the next two decades. In Uttar Pradesh, the sector already contributes nearly 13–15% of the state GDP, significantly higher than the national average, and continues to grow on the back of regulatory certainty, faster approvals and strong developer confidence. Our focus at UP RERA remains on timely project delivery, consumer trust and ease of doing business, ensuring that growth is sustainable, transparent and inclusive.”
Speaking at the inaugural session, Anuj Puri, Chairman & Founder, ANAROCK, said, “Anuj Puri, Chairman – ANAROCK Group, says, “One of the most striking changes is in demand composition. Homes priced below Rs. 75 lakhs, which accounted for nearly 60% of sales in 2021, now make up just ~32% of the market. In contrast, luxury and ultra-luxury housing has expanded rapidly, supported by rising incomes, lifestyle upgrades, and improved affordability among urban buyers. Luxury homes priced above Rs. 4 crores now contribute ~18–20% of total sales in the top seven cities, compared to just 1–2% before the pandemic,” says Puri. “The ultra-luxury segment - homes priced at INR 40 crore and above - recorded a sharp ~66% jump in sales in 2025, with the Mumbai Metropolitan Region (MMMR) accounting for over 70% of such transactions.”
Delivering the industry keynote, Amarjit Bakshi, Managing Director, Central Park, said, “Real estate is not just an industry, it is a nation-building exercise and one of the largest contributors to India’s GDP. Every stakeholder, whether developer, financier, architect or policymaker, carries a responsibility that goes beyond balance sheets. Quality, integrity and trust are what create long-term value, sustain institutions and ensure that the sector continues to contribute meaningfully to India’s growth story.”
“A structural shift in demand is evident as affordable housing gives way to luxury segments, driven by higher incomes and evolving lifestyles. Tier I cities lead, Tier II markets gain traction, and larger, wellness-focused, amenity-rich homes redefine residential preferences,” states Dr Rajeev Singh, Director General, Indian Chamber of Commerce.”
The ICC–ANAROCK report also highlighted changing buyer preferences, with 3BHK and larger homes now accounting for nearly 45–50% of demand, up from about 30% in 2018, and a marked rise in luxury housing, where homes priced above INR 4 crore contribute nearly 18–20% of total sales across major cities.
On the supply side, listed and Grade-A developers now account for nearly 45% of total residential supply, reflecting increasing institutionalisation of the sector. Strong macro fundamentals, including robust private consumption, rising infrastructure spending and a low mortgage-to-GDP ratio of ~11%, continue to support the sector’s long-term outlook.
Through high-level panel discussions on housing policy, commercial real estate, financing, and digital transformation, the Summit reinforced that Indian real estate is no longer merely cyclical, but a strategic pillar of economic growth, urban transformation and capital formation.
