India’s real estate sector could require nearly ₹50 lakh crore in capital over the next decade to support its expansion, according to Brickwork Ratings. The sector is expected to move towards a $1 trillion market by 2030, creating significant opportunities for developers, lenders and institutional investors.
The funding landscape is also changing. Developers are increasingly accessing institutional sources of capital, including private equity, REITs, alternative investment funds and private credit, while top-tier players are maintaining relatively low leverage through joint development partnerships and strong pre-sales collections.
Residential development is expected to account for a substantial portion of the long-term funding requirement because of its large share of overall real estate activity. However, affordable housing continues to face a significant financing gap, even as premium and luxury homes account for an increasing share of new launches.
Commercial real estate is attracting strong institutional interest, particularly in office spaces, data centres, warehousing and developments driven by Global Capability Centres. Office assets alone accounted for more than 40% of institutional real estate inflows in the first half of 2026.
The next decade could therefore mark a major transformation for Indian real estate. Sustaining growth will depend not only on demand, but also on whether the sector can attract sufficient, diversified and affordable capital across housing and emerging real estate segments.
