India' s Housing Demand to Crack 93 Mn By 2036

In collaboration with Liases Foras, CREDAI launched an industry report at the New India Summit in Varanasi that reveals the housing demand in India is anticipated to attain 93 million houses by the year 2036. The prominent increase in demand for housing is mainly due to the growth in key parameters including rapid population in urban as well as rural areas, healthy macro-economic indicators and favorable demographics. With these key parameters, certain Tier II, III cities in India are projected to forefront the demand and supply simultaneously.

The establishment of Smart Cities backed by Government programs along with the ever-increasing commercialization activities in promising areas collectively projected to generate the next wave of real estate development in Tier II, III regions.

According to the report, among 45% out of total projects are falling in the residential segment. The previous year 2023 observed with high volume of housing registrations & interests from home buyers, also 19,050 RERA registrations ran over at Pan India level.

Further, the report illustrates on the existing housing inventory at pan India level that currently stands at 10, 42,195 units, declining 3% on a QoQ basis but also increasing by 2% on a YoY basis. In the ending quarter of September 2023, cities such as MMR and Ahmedabad witness a sharp turn down.  On the back of tough demand, Tier II cities also witnessed a drop in inventory.  

From the perspective of pricing, the report unveils that there has been a 6% CAGR in apartment prices at Rs. 11,660 per square feet with NCR witnessing the highest growth at 22%.