The real estate industry expects Budget 2025 to bring about major reforms that will accelerate recovery and growth. Increased funding for affordable housing, improved tax incentives for homebuyers, and the implementation of policies to alleviate developers’ liquidity issues are among the main goals. The sector wants GST for real estate transactions to be simplified, interest on house loans to be free from taxes, and green building projects to be prioritized. In order to foster sustainable urban expansion, the industry also aspires for reforms that would expedite project approvals, attract foreign investment, and increase support for infrastructure development.
Yuji Kato, Director & CEO, Krisumi Corporation said India’s remarkable economic trajectory has positioned it as a key player in the global business landscape. Over the years, progressive reforms and policy shifts—such as digitization, tax restructuring, and FDI liberalization—have enhanced the ease of doing business, attracting multinational corporations to invest and expand in the country. These initiatives have laid a strong foundation, but the next phase of growth demands deeper structural reforms to unlock India’s full potential.
“As a long-standing economic partner, Japan recognizes India’s immense opportunities. However, to further strengthen investor confidence, Budget 2025 could focus more on simplifying regulatory frameworks, expediting land acquisition processes, and reducing bureaucratic hurdles. A more predictable and transparent policy environment will not only accelerate foreign investments but also foster innovation, technology exchange, and industrial growth.
For Japanese businesses, India offers a strategic market with dynamic potential. By addressing operational complexities and enhancing infrastructure—especially in digital connectivity and sustainable industries—the government can create an ecosystem where global enterprises, including those from Japan, can thrive and contribute meaningfully to India’s long-term growth story. The time is right for India to solidify its position as a global investment powerhouse.”
Deepak Kapoor, Director, Gulshan Group said that even though the real estate sector has performed well in the last few years, a large percentage of the population is not yet close to owning a home. As a result, the sector has tremendous future potential, which is dependent on the government and apart from continuing its thrust on economic and infrastructural development also needs new initiatives.
“To begin with, we would urge the government to combine home loan principal and interest deductions and raise the limit to 5 lakh. Additionally, reducing the holding period for long-term capital gains exemption to two years and enhancing the Section 54EC exemption to Rs 1 crore would be great moves. Other initiatives we hope for are making more land banks available for real estate development and a reduction in GST on input materials.”
Prateek Tiwari, MD, Prateek Group added that the sector has become not only a major employment generator but also a key contributor to the nation’s GDP, with its share expected to grow substantially.
“We anticipate the government to address the long-standing demands including a single-window clearance system and industry status. Fulfilling these demands will strengthen the sector, amplify positive market sentiment, and accelerate its transformative impact on the economy.”
Kushagra Ansal, Director, Ansal Housing stated that the implementation of a single-window clearance system would significantly reduce the approval time for developers.
“This would result in faster project completions, enabling homebuyers to receive their homes sooner.”
Ankit Kansal, Managing Director, 360 Realtors said steps such as tax rationalization, favourable financing climate, reduction in repo rates can be effective steps.
“Steps to foster affordable homes in India, tax incentives for developers, single window clearance, tax reductions in home loans can go a long way to help the industry thrive & evolve. Likewise, governing bodies should also mull about creating a more conducive environment for proptech ecosystems in India with the help of incentives, subsidies, funding of research activities, facilitating partnership between academia and industry bodies.”
Yash Miglani, Managing Director, Migsun said thatthe sector seeks government intervention to reduce input costs, particularly for materials like steel, cement, and fuel in the forthcoming budget.
“Additionally, a reduction in the GST rate on cement and targeted initiatives to promote affordable housing through enhanced tax incentives would provide much-needed impetus to the sector’s growth and affordability.”
Sanchit Bhutani, Managing Director, Group 108 said that granting industry status to the real estate sector remains a key demand that we urge the government to address in the forthcoming budget.
“We anticipate the union budget to include fiscal incentives to stimulate demand and supply. The budget could also introduce a tax incentive under Section 80 C for REIT investors. The implementation of a single-window clearance system is equally critical, as it would save valuable time for developers and accelerate project delivery. We also seek measures to cap interest rates and ensure they remain conducive to sustained growth in the sector.”
Ashwani Kumar of Pyramid Infratech said that government must address concerns regarding high taxes on key input materials like cement and steel as they continue to inflate construction costs, impacting project viability.
“The anticipation further extends to implementing a single-window clearance system to streamline approvals. As one of the largest employment-generating sectors in the country, any supportive measures for real estate will create a ripple effect, boosting economic growth and job creation.”
Saurab Saharan, Group Managing Director, HCBS Developments said that as a major employer, particularly of unskilled labour, grant of industry status would accelerate growth and strengthen the sector’s contribution to the economy.
“The sector looks forward to the introduction of a single-window clearance system to streamline approvals and policies that further make homes more accessible to millions.”
Neeraj Sharma, MD, Escon Infra Realtors said that enhancing tax incentives under Section 24(b) to alleviate the financial burden on homebuyers, reinstating input tax credit for under-construction properties to reduce construction costs, and revising the affordable housing definition to extend tax benefits are among the sector’s monetary priorities.
“Furthermore, granting infrastructure status will improve credit access at lower rates, and allocating funds for sustainable housing initiatives will drive long-term growth. These monetary reforms will not only revitalize the sector but also contribute to the nation’s economic development.”
Vishal Sabharwal, Head Sales, Orris Group added that industry status and a single-window clearance system remain critical unmet demands for a long time.
“Addressing these would streamline approvals, accelerate growth, and enhance the sector’s economic contribution. Additionally, reducing input costs such as steel, cement, and fuel, would alleviate construction expenses. Introducing tax incentives for homebuyers and investors could further drive demand and capital inflow, ensuring sustained sectoral growth. These strategic measures would boost expansion across all real estate segments.”
