Housing prices to appreciate 5-10% annually over next few years: CII report

A joint report by Industry body Confederation of Indian Industry (CII) and property consultant Colliers India has said that Housing prices are likely to appreciate 5-10% annually over the next few years on better demand. The report projected that annual sales could jump from 3-4 lakh units currently to 10 lakh units by 2047.

It stated annual sales can potentially double and reach 1 million housing units by 2047, driven by rising income levels, demographic shifts and progressive housing policies. Furthermore, driven by rising incomes, urban migration, and premium housing demand, average property prices are projected to grow at 5-10 per cent annually over the next few years. The report also projected that the Indian real estate market size would surge from $0.3 trillion in 2025 to $5-10 trillion by 2047.

Harleen Kaur, Deputy Secretary, Ministry of Road Transport and Highways said ‘India's infrastructure expansion is reshaping the real estate landscape, unlocking new growth corridors and transforming Tier II & III cities. As we march towards a multi-trillion-dollar economy, the demand for world-class built structures, integrated logistics hubs and resilient mobility solutions, including transit-oriented development (TOD) systems, will become more prominent.’

She noted that the real estate and infrastructure are two vital sectors which will reinforce each other. Stated ‘Expressways and industrial corridors will increasingly enhance connectivity - transforming land usage in catchment areas, accelerating urban development, and creating commercially viable economic hotspots.’