Inputs from Ashar Group

Mr. Dharmendra Raichura - VP & Head of Finance, Ashar Group

"India’s economy is set for robust growth, with the GDP projected to expand by 6.4% in the fiscal year 25-26. This growth is expected to benefit various sectors, including real estate. The sector is particularly hopeful for an increase in the proposed home loan interest tax exemption limit, with the cap potentially rising from ?2 lakh to ?5 lakh. This would offer substantial relief to middle-income homebuyers, encouraging more investments in homes and boosting the housing sector.

In 2024, Mumbai’s real estate market experienced a significant surge, with 1.41 lakh property registrations, marking an 11% increase from the previous year. This growth generated ?12,138 crore in stamp duty revenue, underscoring strong demand and confidence in the market.

We expect the upcoming Union Budget 2025 to focus on infrastructure development, tax reforms, and making homeownership more accessible, thus boosting the sector performance even further in the coming financial year. Proposals such as easing in GST and stabilizing raw material prices will help reduce construction costs and make housing more affordable. These measures will address sector challenges and play a pivotal role in India’s economic progress, with real estate continuing to be a key driver in its growth."