Festive Season Boosts Real Estate Market: GST 2.0 and Attractive Offers Drive Momentum
India's real estate market is witnessing a significant boost this festive season, driven by GST 2.0 and appealing offers. Developers are reporting increased inquiries and site visits, particularly in the premium and upper-mid segments.
Real EstateGst 20Festive SeasonHomebuyersProperty MarketReal EstateOct 20, 2025
Industry players report a noticeable uptick in inquiries and site visits over the past few weeks. Historically, bookings have seen a 10-15% increase during these months, driven by both end-users and investors responding to market optimism. Manik Malik, CEO of BPTP, a leading developer known for large-scale residential and commercial projects in NCR, notes a clear resurgence in homebuyer sentiment, particularly in the premium and upper-mid segments. “Today’s buyers are more discerning and long-term oriented—price-sensitive, yes, but also willing to commit when the payment plan is logically aligned with construction progress and the project offers strong value at the right price point,” Malik explains.
Beyond discounts, trust and optimism are critical factors driving decisions. Rishi Raj, CEO of Conscient Infrastructure, anticipates a similar uplift for Elaira Residences as last year’s festive response for PARQ in Gurugram. “The festive season has always held a special place in India’s homebuying sentiment—it’s when emotional aspirations and financial confidence intersect,” Raj adds.
Auspicious days have historically driven strong sales, but this year, these trends are set to gain further traction due to GST 2.0. Rohit Kishore, CEO of Hero Realty, highlights that GST is expected to stimulate consumption, streamline costs, and create a positive multiplier effect. “With the rising potential of the industry and the festive promise that uplifts sentiments, we foresee strong demand. This surge is not just limited to metros; it is equally visible in Tier 2 cities, where growing aspirations are driving more people to invest in quality housing,” Kishore states.
To capitalize on the festive season, developers are offering similar incentives as last year, though the excitement is somewhat subdued. Ravi Shankar Singh, Managing Director of Residential Services at Colliers India, notes that inquiries are down by almost 20% compared to the same time last year. However, cities like Bangalore, Pune, and Navi Mumbai are still showing robust demand for housing priced between Rs 1.5-2 crore. Singh believes the real estate momentum will pick up from November, with developers aligning new launches with Diwali and year-end incentives to capture heightened buyer interest. While Q3 indicates a modest rebound, Q4 is projected to see stronger absorption.
Anupam Rastogi, Co-Founder and CBO of NRI Real Estate at Square Yards, observes a noticeable uptick in project inquiries as homebuyers explore options. This year, favourable factors such as GST reforms are providing an additional boost to homebuyer confidence. “Developers often report higher footfalls during this period, reflecting increased engagement. Festive moods generally encourage timely decisions, with many homebuyers aiming to finalize purchases,” Rastogi notes.
Vishal Vincent Tony, Managing Director of Aratt Developers and Founder of Ayatana Hospitalities, sees Bengaluru buyers actively returning to the market this festive season. “Housing sales are estimated to have risen by 21% in Q3 2025 compared to last year, signaling renewed confidence and enthusiasm among homebuyers,” Tony states. Buyers are responding positively to flexible payment structures, such as pay-on-possession plans and reduced upfront costs. Developers are also offering surprise discounts and collaborating with financial institutions on attractive home loan schemes.
In the luxury residential segment, buyers are increasingly drawn to exclusive lifestyle-focused incentives that enhance the overall premium living experience. Robin Mangla, President of M3M, one of the biggest luxury real estate developers in NCR, highlights that high-net-worth individuals prioritize offerings that elevate comfort, convenience, and long-term value. “By emphasizing curated experiences, superior amenities, and a sense of exclusivity, such measures are generating strong traction and engagement,” Mangla explains. These initiatives are expected to sustain momentum through Q3, supporting immediate sales and reinforcing the long-term appeal of India’s luxury real estate segment.
Pavan Kumar, Founder and CEO of White Lotus Group, which specializes in bespoke luxury homes, agrees that festive incentives can help nudge decisions but are not enough to counter early-year softness on their own. In the luxury segment, buyers are deliberate; they respond to substance, not sales tactics. “Compared to previous years where flexible payment plans or offers dominated festive promotions, today's buyers are saying: ‘Don’t reduce the price, raise the experience,’” Kumar notes. This festive season, the company has seen a marked shift toward experiential bundles—curated interiors, integrated home solutions, and wellness-oriented inclusions like terraced gardens or spaces with biophilic design. “Festive incentives can help nudge decisions, but they’re not enough to counter early-year softness on their own; the real shift in Q3 is qualitative, with stronger inquiries, faster evaluation cycles, and deeper engagement,” Kumar concludes.
Frequently Asked Questions
What is driving the increase in inquiries and site visits in the real estate market this festive season?
The increase in inquiries and site visits is driven by the festive season, GST 2.0 reforms, stable repo rates, improved liquidity, and attractive financing options. These factors create a favorable environment for home buying.
How are developers responding to the festive season to boost sales?
Developers are offering various incentives such as discounts, flexible payment plans, and experiential bundles like curated interiors and wellness-oriented inclusions to attract and retain buyers.
What segments of the real estate market are seeing the most growth during the festive season?
The premium and upper-mid segments are seeing the most growth, particularly in cities like NCR, Bangalore, Pune, and Navi Mumbai. These segments are driven by both end-users and investors.
How is GST 2.0 expected to impact the real estate market?
GST 2.0 is expected to stimulate consumption, streamline costs, and create a positive multiplier effect. It is anticipated to drive demand for housing in both metro and Tier 2 cities.
What are some of the qualitative shifts observed in the luxury real estate segment this festive season?
In the luxury segment, buyers are prioritizing curated experiences, superior amenities, and a sense of exclusivity over just pricing benefits. Developers are focusing on enhancing the overall premium living experience to attract high-net-worth individuals.
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