Strong GDP growth in Q1 to boost property demand: Realtors

Realtors' bodies CREDAI and NAREDCO on Saturday said strong economic growth in the June quarter will boost consumer confidence and increase demand for residential as well as commercial properties.

"The strong GDP growth of 7.8 per cent demonstrates the resilience and potential of our economy. This positive momentum is encouraging for the real estate sector and will boost investor and consumer confidence," CREDAI National President Shekhar Patel said.

He said the industry looks forward to the proposed GST reforms, which will further boost demand.

NAREDCO President G Hari Babu also said the strong GDP growth augurs well for the real estate sector as it would boost demand, especially during the upcoming festive season.

India's economy grew by a stronger-than-expected 7.8 per cent in April-June, its fastest pace in the past five quarters. The gross domestic product (GDP) growth in the first quarter of the ongoing fiscal year was mainly driven by good showing by the farm sector, and also helped by services like trade, hotel, financial and real estate, according to the latest government data released on Friday.

The previous highest pace of growth in the country's GDP was recorded at 8.4 per cent during January-March 2024, as per the data. India remains the fastest-growing major economy, as China's GDP growth in the April-June period was 5.2 per cent.

Housing sales increased sharply during the 2022-24 calendar years. However, the demand slackened in the first half of 2025 because of a sharp rise in prices post-COVID pandemic.