Bombay Realty CEO Shares Pre-Budget 2026 Expectations for Premium Housing Sector
Premium Sector Eyes Policy Reform Ahead of Budget 2026
As Union Budget 2026 approaches, the real estate industry's focus is on a policy framework that acknowledges the growing premiumization of India's housing market, driven by evolving lifestyles, global benchmarks, and the demand for well-planned large layout developments. Rohit Santhosh, CEO of Bombay Realty, brings over 17 years of experience in the real estate sector, with an impressive track record across residential, commercial, industrial, and renewable projects.
Key Expectations for the Premium Housing Segment
For the real estate sector to truly lead India's urban transformation, the developer hopes the government will address long-standing structural constraints such as the ₹10 crore cap on capital gains reinvestment and grant 'Industry Status' to the sector. Enhancing home loan interest deductions to a minimum of ₹5 lakhs and rationalising GST to restore Input Tax Credit would significantly support the aspirational and premium homebuyer segments alike.
Infrastructure and Market Context
For Bombay Realty, these reforms—along with sustained investments in transformative infrastructure like the Coastal Road and Atal Setu—are critical to unlocking the full potential of premium housing and ensuring that India's urban growth remains sustainable, transparent, and globally competitive.
Budget 2026 is widely seen as a potential inflection point for India's real estate sector, as the gap between the luxury housing market and a stressed affordable segment continues to widen. While premium and high-end homes have sustained healthy demand and capital inflows, the affordable and mid-income housing categories, crucial for first-time buyers and urban workforce housing, have come under pressure due to rising land and construction costs.
Broader Industry Perspective
Housing developments that are quality-led and design-intensive operate on longer gestation cycles with higher capital commitment than mass housing. From Budget 2026, the sector's key expectation is policy stability—predictable GST on construction inputs, clarity on works contracts, and uniform compliance norms. Granting real estate industry status will improve access to structured financing, enhance investor confidence, and enable the sector's progression towards global standards and long-term value creation.
The Union Budget was presented on February 1, 2026. Despite long-standing industry expectations, the Budget did not introduce any new exemptions, relief, credit of GST paid on inputs by developers or confer infrastructure status to the real estate sector, measures that stakeholders have consistently advocated to boost sectoral growth.