India’s real estate sector is expected to expand to $5.8 trillion by 2047, contributing 15.5 per cent to the GDP from an existing share of 7.3 per cent, a joint report by Knight Frank and National Real Estate Development Council (Naredeco) said.
The report ‘India Real Estate: Vision 2047’ stated that the residential segment will have an overwhelming share in the real estate sector. “By 2047, when India reaches 100 years of independence, the size of India’s economy is estimated to range between $33-40 trillion,” it said.
The report noted that private equity investments in the Indian real estate sector have consistently grown over the past two decades and from a projected figure of $5.6 billion in 2023, it is expected to reach $54.3 billion by 2047, an annual growth of 9.5 per cent.
According to Knight Frank, in the next 25 years, cumulatively, there will be an estimated 230 million units of housing requirement in India. In terms of market value, the residential market has the potential to generate an output equivalent of $3.5 trillion in 2047.