Reshaping the Future of Residential Real Estate: Urbanisation, Premiumisation, and Green Living

Published: January 07, 2026 | Category: Real Estate
Reshaping the Future of Residential Real Estate: Urbanisation, Premiumisation, and Green Living

New Delhi:

After years of rapid expansion driven by volume and velocity, the housing sector is transitioning toward value-led growth. Quality, location, and long-term liveability are now as important as price. This next phase is being shaped by the convergence of three defining forces—urbanisation, premiumisation, and green living. These trends are increasingly intertwined, collectively redefining how and where homes are planned, built, and bought in India’s evolving urban landscape.

India Real Estate 2026

According to the 'India Real Estate 2026' report by Colliers, housing demand has remained strong despite external pressures, setting the stage for growth and sustained transformation in the coming years. In the National Capital Region (NCR), urbanisation continues to redefine residential growth beyond traditional city cores. Housing demand is increasingly gravitating toward well-planned city extensions that offer a better balance between access and liveability. For homebuyers, connectivity is no longer about the shortest distance alone—it is about ease of movement, quality of surroundings, and the ability to live well without compromising on urban access.

Shyamrup Roy Chaudhary, Founder & Managing Director of AuraWorld, highlights that residential real estate in 2026 will be less about owning a home and more about choosing a way of life. In Gurugram, buyers are increasingly value-driven, seeking seamless connectivity, social infrastructure, and homes that support modern urban living. 'What we’re seeing is a clear shift toward thoughtfully designed, premium residences that balance comfort with long-term value. Urbanisation today isn’t chaotic expansion; it's structured growth aligned with infrastructure and employment hubs. Developers who understand this evolution will shape resilient communities, not just housing projects,' Chaudhary said.

Key Determinants for Housing Sales

The report notes that large-scale investments in metro rail networks, expressways, transit corridors, and airports were witnessed in 2025, particularly in the peripheral and suburban areas of Tier I cities. These quiet locations have emerged as key determinants for housing sales, as they keep affordable options available while being connected with the main employment and lifestyle hubs.

Dr. Gautam Kanodia, Founder of KREEVA and the Kanodia Group, believes that in 2026, the housing cycle will be defined by how well developers respond to emerging micro-markets. 'Locations like New Gurugram, SPR, Golf Course Road, and Golf Course Extension Road are becoming the new growth engines of NCR. Buyers here are aspirational yet practical, seeking larger homes, better planning, and future-ready infrastructure. Premiumisation in these corridors is driven by lifestyle upgrades rather than status alone. Hence, these markets will represent a more balanced form of urbanisation where space, connectivity, and sustainability coexist,' Kanodia said.

Meanwhile, premiumisation has reshaped residential demand, with homes increasingly viewed as long-term lifestyle assets rather than mere shelter. Buyers are upgrading to larger configurations within branded developments that offer integrated living, professional management, and a stronger sense of community. There is a growing emphasis on well-designed spaces, enhanced security, and amenity-rich environments that support modern living patterns. This shift reflects rising aspirations, greater purchasing maturity, and a preference for quality-led housing that delivers both comfort and enduring value.

Ashwani Kumar of Pyramid Infratech says, 'In Gurugram, Dwarka Expressway perfectly captures the direction residential real estate is heading in 2026. What began as an infrastructure corridor is now evolving into a full-fledged residential ecosystem. Homebuyers here are focused on long-term liveability—green spaces, energy efficiency, and well-planned communities matter as much as connectivity. Sustainability is no longer optional; it’s influencing both buyer trust and investment appetite. The future housing cycle will reward developments that integrate smart design with environmental responsibility, creating homes that remain relevant decades down the line.'

Moreover, sustainability is moving from the periphery to the core of residential decision-making. Homebuyers are increasingly factoring in energy efficiency, air quality, and access to open green spaces while evaluating housing options, driven by health awareness and long-term cost considerations. This shift is also resonating with investors, as ESG-aligned residential developments gain stronger institutional interest for their resilience and future-readiness. For developers, sustainability is no longer viewed as a regulatory obligation alone, but as a value-creation lever, enhancing asset longevity, market credibility, and overall project desirability in a more discerning housing market.

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Frequently Asked Questions

1. What are the key trends shaping the future of residential real estate in India?
The key trends shaping the future of residential real estate in India are urbanisation, premiumisation, and green living. These trends focus on structured growth, lifestyle upgrades, and sustainability in housing developments.
2. How is urbanisation affecting residential real estate in NCR?
Urbanisation in NCR is redefining residential growth beyond traditional city cores. Housing demand is increasingly gravitating toward well-planned city extensions that offer better balance between access and liveability, with a focus on connectivity and quality of surroundings.
3. What is the role of premiumisation in the housing market?
Premiumisation is reshaping residential demand, with homes increasingly viewed as long-term lifestyle assets. Buyers are upgrading to larger configurations within branded developments that offer integrated living, professional management, and amenity-rich environments.
4. Why is sustainability becoming
core consideration in residential real estate? A: Sustainability is becoming a core consideration in residential real estate due to health awareness and long-term cost considerations. Homebuyers are factoring in energy efficiency, air quality, and access to green spaces, which also resonates with investors and enhances market credibility.
5. What are the key determinants for housing sales in peripheral and suburban areas?
Key determinants for housing sales in peripheral and suburban areas include large-scale investments in metro rail networks, expressways, transit corridors, and airports. These areas offer affordable options while being well-connected to main employment and lifestyle hubs.