Indian Housing Sector Sees High Surge with 14% Credit Growth: NHB Report

According to Prop Equity data, the supply of new housing in the top eight cities increased by 22% in 2024, with 60% of new buildings being mid-segment and affordable housing.

Housing demand is predicted to increase by 25% over the next three years, according to industry analysts, who predict that this growing momentum will continue. The interplay between developer response, institutional finance, and government actions is creating a mutually advantageous ecosystem for real estate growth. This is transforming India's housing market and significantly boosting economic growth and employment creation.

“India’s residential sector has been witnessing an upscale shift, owing to the progressive government schemes and recently announced 14 percent Credit growth", highlighted in the NHB report. This upsurge is not just about numbers, it represents a paradigm shift in homeownership, affordability, and economic empowerment. These policies have further elevated financing and increased buyer confidence.

As credit expansion meets infrastructural progress, we are not just building homes; we are building futures. The Indian real estate sector is on the brink of unprecedented expansion, paving the way for long-term economic stability and inclusive development”, says Rahul Singla, Director of Mapsko Group.

Yashank Wason, Managing Director, Royal Green Realty said, “The NHB report’s emphasis on the 14 pc increase in housing credit highlights how government programs like PMAY and lower house loan rates have revolutionized the Indian real estate market. In addition to making homeownership more accessible, these programs have increased demand, especially in the Delhi-NCR area. Infrastructure projects like the Dwarka Expressway and upcoming RRTS will drive an increase in residential sales in Gurugram, a major real estate hotspot. NRI investments and the city’s booming IT sector both contribute to its rapid expansion. With luxury segments flourishing, Delhi-NCR, especially Gurugram, is poised to lead India’s real estate resurgence, offering immense opportunities for buyers and investors alike.”