As Budget 2026 approaches, the real estate sector is actively voicing its expectations for policy continuity, targeted fiscal measures, and long-pending reforms to maintain its growth trajectory. Industry leaders emphasize that the upcoming budget can significantly bolster confidence across residential, commercial, and mixed-use projects by addressing critical issues such as housing affordability, infrastructure-led urban development, access to capital, and faster regulatory approvals.
Industry Leaders Outline Key Demands
Robin Mangla, President of M3M India, highlighted real estate as a stable, long-term investment despite ongoing global and domestic uncertainties. He stressed the necessity for a predictable policy framework, particularly for premium housing and mixed-use projects. Mangla also advocated for tax rationalization for homebuyers, easier access to long-term institutional funding, and expedited approvals through single-window clearances.
Sidharth Chowdhry, Managing Director at Dalcore, echoed the call for policy continuity and selective fiscal support to sustain demand in premium and luxury housing markets, including areas like Gurugram. He explained that rationalized stamp duty and enhanced tax benefits on home loan interest could significantly improve buyer sentiment. Additionally, low-cost, long-term financing would assist developers in delivering high-quality projects.
Focus on Mid-Income Housing and Infrastructure
Manoj Gaur, Chairman and Managing Director of Gaurs Group, expects the Budget to prioritize infrastructure spending and a supportive interest rate environment for mid-income housing. He proposed widening the scope of the Economically Weaker Section (EWS) and Pradhan Mantri Awas Yojana (PMAY), restoring Section 80EEA benefits for first-time buyers, granting industry status to real estate, and implementing a single-window clearance system.
Dr. Gautam Kanodia, founder of KREEVA and Kanodia Group, emphasized that sustained infrastructure investment, particularly in the National Capital Region (NCR), along with supportive liquidity conditions, could drive the next phase of growth. Infrastructure spending remains a central expectation across allied industries.
Allied Industries and Economic Impact
Rajan Luthra, Chief Financial Officer of ACE-Action Construction Equipment Ltd, noted that public capital expenditure continues to support economic activity and could revive demand for construction equipment. He identified private capex, exports, defense, and large infrastructure projects such as airports, railways, and freight corridors as key demand drivers. Luthra added that GST rationalization, lower interest rates, and improved liquidity could further boost investment and execution.
Mohit Goel, Managing Director of Omaxe Ltd, argued that the focus should remain on long-term clarity rather than short-term stimulus. He highlighted the strong potential in Tier 2 and Tier 3 cities, supported by urban infrastructure, better connectivity, and housing-linked development. Policies that encourage public-private partnerships, streamline approvals, and strengthen buyer confidence can help align private capital with development goals.
Investment and Sustainability Perspectives
From an investment standpoint, Binitha Dalal, founder and managing partner at Mt. K Kapital, underscored the importance of fiscal discipline and measures that enhance resilience to global shocks. For real estate, she pointed to the need for housing affordability, GST rationalization for construction and redevelopment, clearer Real Estate Investment Trust (REIT) norms, and support for alternative capital pools. Dalal also expects stronger incentives for green buildings and sustainable construction.
Amrita Gupta, director at Manglam Group, stressed the focus on affordability and sustainability, particularly in cities like Jaipur where demand is largely end-user driven. She advocated for a stable interest rate environment, incentives for green construction, and clearer redevelopment policies to support long-term housing demand.
Emerging Trends and Broader Sectors
Looking beyond traditional housing, Aditya Kushwaha, CEO and director of Axis Ecorp, noted growing interest in holiday homes, especially in destinations like Goa. He anticipated that infrastructure development, tourism growth, and easier ownership norms could encourage greater Non-Resident Indian (NRI) participation.
Nirupam Sahay, Chief Executive Officer of the Bath & Tiles Business at Hindware Limited, commented, "GST rationalization measures introduced in 2025 were a welcome step, moving India toward a simpler rate structure while easing tax burdens for both businesses and consumers. As we look ahead to the upcoming Budget, continued focus on infrastructure and housing-led growth, along with support for sustainable and energy-efficient manufacturing, will further strengthen the building products sector. Calibrated efforts to reduce construction costs and stronger skilling and employment support for the manufacturing workforce will also help make quality solutions more accessible across the country."
Overall Expectations and Sector Outlook
Overall, industry expectations from Budget 2026 are modest, with the sector prioritizing stability, smoother execution, and long-term clarity over big-ticket announcements. With continued infrastructure spending, targeted fiscal support, improved access to capital, and a focus on quality and sustainability, industry leaders believe that real estate can continue to support jobs, urban growth, and economic development effectively.
