“As the driving force behind India’s economy, real estate is a major contributor to GDP and jobs, supporting over 70 million employment opportunities. However, with structural issues, increasing land prices, and stagnant policy thresholds, first-time home buyers have been left on the sidelines. For Budget 2026, it is imperative that these issues are converted into growth enablers through three key strategic pillars.
First, it is essential that we upgrade the definition of affordable housing. The existing Rs. 45 lakh limit is out of sync with the 2026 market scenario. By upgrading this limit to Rs. 75-80 lakh in metros, the affordable housing market will be revived and brought in line with the urban income levels.
Second, tax rationalisation is essential. By reducing GST on under construction properties and simplifying Input Tax Credits, the acquisition cost for buyers will be reduced, and the efficiency of the developers will be improved.
Lastly, structural changes such as single-window approvals and the provision of Infrastructure status to the sector will help shorten the execution period and costs of borrowing. By encouraging niche areas such as senior living and green housing, Budget 2026 can look beyond the current transactional approach. With this foresight and budgetary allocations, the government can ensure that the real estate sector remains an investor ready, socially impactful foundation of the Viksit Bharat vision
. ”
