Millennials: Reshaping the Indian real estate sector

New Delhi: India is home to the largest millennial population, forming 34 per cent (440 million) of the total population of the country, as of 2021. Quite evidently, this makes the role of GenZ, a crucial role in defining the country’s economy and the trends of the Indian real estate sector. With a positive attitude and high aspirations, GenZ has greater access to opportunities, education facilities, cushy jobs, and higher incomes, creating a conducive environment to invest in homes.

India has also emerged as the most sought-after destination which has been propelled by the IT boom, contributing to a larger demand for residential homes. Indian millennials are also more inclined to own their own homes, which can be contributed to the sentiment of family values, the idea of long-term future investment, and gaining a sense of pride and acceptance in the societal system.

Millennials, who are the largest demographic group in India, are redefining the country’s real estate market in several ways. Financial prudence and economic forces are shaping the patterns of millennials in the coming year. The new breed of millennials is likely to turn from the ‘carefree spender’ to the ‘conservative homebuyer’, thereby taking the real estate market by storm. According to several statistics, in pursuit of financial stability, post-covid, millennials are going to drive the trend of residential sales in 2023 too, just like the past year. Property forecast by CREDAI revealed that property trends from 2022 in terms of residential sales will multiply in 2023.

Here are how millennials are changing the Indian real estate landscape

Demand for affordable housing

Contrary to the belief that millennials are spendthrifts, millennials are more cost-conscious than previous generations when it comes to housing and is looking for affordable housing options. This has led to an increase in demand for compact, affordable homes on the outskirts of major cities.

Technological advancements

Millennials are tech-savvy and are using technology to research properties, connect with real estate agents and developers, and even complete transactions online. This has made the real estate market more accessible and transparent.

Emphasis on amenities

Millennials are looking for homes with modern amenities such as swimming pools, fitness centers, and co-working spaces. Developers are responding to this demand by incorporating these amenities into their projects.