Proptech Market in India to Reach USD 600 Billion by 2047: CREDAI-EY Report

New Delhi, Nov 26 (PTI) The Proptech market size is estimated to jump multifold to around USD 600 billion by 2047 from the current USD 10.5 billion due to the rise in the use of technology in the real estate sector, according to CREDAI and EY joint report.

Realtors apex body CREDAI and Ernst & Young (EY) released their joint report at the association's 25th foundation day.

Indian real estate sector is set to cross USD 4.8 trillion in market size by 2047 from the current around USD 300 billion.

The real estate sector will contribute over 18 per cent to the projected USD 26 trillion GDP in 2047.

"The current market penetration for ICT/PropTech-based solutions in the real estate sector is USD 10.5 billion which is less than 5 per cent of the overall real estate market size," the report said.

At present, PropTech makes up less than 5 per cent of the USD 300 billion real estate sector.

CREDAI-EY report further highlighted that the PropTech market is expected to be around USD 600 billion by 2047, which will be 12-13 per cent of the overall real estate sector.

"PropTech is shifting from the traditional role as facilitators to growth drivers in the real estate sector. The integration of propTech is enhancing the operation efficiency, streamlining automation, reducing expenses and improving margins in the real estate sector," the report said.

Boman Irani, President of CREDAI, said, "Indian real estate finds itself at an extremely crucial and exciting junction, characterized by rapid urbanisation, technological integration, pivot towards sustainable methodologies and ever-increasing homebuyer and government focus. An amalgamation of this magnitude and scale has definitely put the sector firmly as the focal point of India's robust economy."

CREDAI Chairman Manoj Gaur said, "As the sector evolves to meet the needs of a rapidly urbanising population, it is imperative to adopt forward-thinking approaches that align with India's growth aspirations.