$1 bn and counting! Fractional Real Estate booms as NRIs, millennials seek smarter investments
As India's real estate landscape continues to evolve with the rise of digital platforms, the fractional ownership model is gaining significant traction among retail investors, NRIs, and HNIs.
ADVERTISEMENT The combination of professional asset management, improved accessibility, and attractive yields is pushing this niche segment into the mainstream.
According to Manisheel Gautam, Chief Marketing Officer at Alt DRX, the fractional real estate market in India is currently valued at approximately $1 billion.
'While overall real estate deployment in India stands at around $100 billion annually, the digital real estate segment is still in its infancy. We're seeing a 30–40% year-on-year growth as accessibility for retail investors improves,' he said.The United States, by comparison, is much further along in the journey. 'Top players in the U.S. have deployed over $4 billion each in tokenized and fractional real estate, showing what's possible when the model scales,' Gautam added.
ADVERTISEMENT Aditi Watve, President - Investment Sales & REIT Advisory at ANAROCK Group, estimates the Indian fractional real estate market was worth INR 4,000 crore just two years ago.With an annual growth rate of 25–30%, she believes it could exceed INR 41,500 crore within the next five years—provided the regulatory environment evolves to support this growth. Globally, the sector is set to reach a staggering market value of USD 4.8 trillion this year, growing at an annual rate of 26%.
ADVERTISEMENT Watve pointed out that the demand is primarily being driven by retail investors, HNIs, tech-savvy millennials, and non-resident Indians (NRIs). 'Investors are looking for exposure to premium commercial properties in cities like Mumbai, Bengaluru, Delhi-NCR, Hyderabad, and Pune. Fractional ownership offers them access to high-value assets without large capital outlays,' she said.NRIs, in particular, are finding the model attractive due to India's robust rental yields and the potential for capital appreciation. 'They're increasingly using digital platforms that not only enable seamless investing but also handle property selection, due diligence, and ongoing asset management,' she added.
ADVERTISEMENT
Geographically, the trend is most prominent in the South and West of India. Gautam noted that 'Goa, Karnataka, Tamil Nadu, Telangana, and Maharashtra are leading the way in fractional real estate activity. Tier-1 cities and warehousing hubs in these regions have become the focal points.'The surge in warehousing demand, driven by India's e-commerce boom and infrastructure growth, is also spilling over into the fractional space, creating opportunities for both retail and institutional investors.
ADVERTISEMENT
With rising awareness, improving digital infrastructure, and evolving investment preferences, India's fractional real estate market is on the cusp of rapid expansion.
As Watve summarised, 'With the right regulatory clarity and continued investor interest, this model has the potential to redefine property ownership in India—making it more inclusive, liquid, and technology-driven.'
(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of the Economic Times)
(You can now subscribe to our ETMarkets WhatsApp channel)
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
&w=3840&q=100)
Business Standard
37 minutes ago
- Business Standard
Escorts Kubota eyes No 2 spot in Indian tractor market with new launches
Farm machinery and construction equipment major Escorts Kubota Ltd is gunning for the number two spot in the Indian tractor market by combining the Indian firm's cost competitiveness with the Japanese partner's technology and quality strengths as part of its future plans, according to its top officials. The company, formed after Japan's Kubota Corporation acquired a majority stake in Escorts Ltd in a multi-structured merger deal announced in 2021, is working to finalise a mid-term plan (MTP) for up to 2031 with a slew of products planned to be launched, Escorts Kubota Ltd (EKL) Chairman and MD Nikhil Nanda and Deputy MD Seiji Fukuoka told PTI in a joint interview. "In the next four to five years between the three brands -- Farmtrac, Powertrac and Kubota -- I think the success is going to come from the new products that we are going to be launching. Lot of work has happened, and a lot of product lines are planned for introduction between now and the next five years...," Nanda said responding to a query on the road ahead. These products are for domestic as well as international markets and for different applications, and also for the construction business as well, he added without elaborating details. "Product planning, innovation and development is going to play an extremely important role for the kind of growth that we are envisioning," Nanda said. When asked about the company's growth ambitions, Fukuoka said,"In the domestic market, our first target would be to get to number two position. Presently, our market share is somewhere between 12 to 13 per cent." EKL is a distant fourth in the Indian tractor market that is currently led by Mahindra-Swaraj combined with around 40 per cent share. TAFE and Sonalika are the other players in the top three, he noted. In FY25, tractor retail sales were at 8,83,095 units as against 8,92,410 units in FY24, according to Federation of Automobile Dealers Associations (FADA) data. Both Nanda and Fukuoka declined to put a timeline to their target to become the number two player in the Indian market reiterating that it is "an ambition for the future". Fukuoka, however, said as the Indian market "is more of a mature or saturated market", the priority for EKL is to ensure its products "get selected by the customer before the competition". In order to achieve that, he said efforts are on to bring together the strengths of Escorts, which is cost competitive products and that of Kubota's technology and quality. "Presently, we are thinking of putting Kubota quality in the low cost yet good tractor and putting it in the price sensitive we end up putting the price higher because of the high quality, or make the price higher, then it will lose its value. So that is why, in this MTP, it is a very big theme on how to make good quality yet low-cost tractors," Fukuoka asserted. He said as Kubota has been collaborating for the last five years now with Escorts, it has also learned "what are the points where we can improve the quality without increasing the price and that know-how will also be shared globally in order to contribute to Kubota's global growth". In terms of network presence, Nanda said earlier Escorts was strong in North and West markets, while Kubota was strong in South and East. The coming together of the two entities has also helped in having a strong presence across India with over 1,500 plus dealers, Nanda said adding, "we still believe we have certain vacant spaces where we will be appointing dealers". Fukuoka said recently top officials of Kubota's sales firm in the Americas, where the company has a strong sales network maintaining a high market share, came to India to share experience and advised EKL dealers "on what can be done" to increase market share. On the export front, Fukuoka said,"By coming together as EKL now we are able to design tractors in India, procure things in India, and manufacture them in India and send them to the whole world through Kubota channels. This, of course, contributes to EKL's growth, but at the same time it also contributes to Kubota's growth." In Europe, he said Kubota has been able to recapture its market share in the compact tractor segment after introducing EKL's high quality and cost competitive product. "This is something that is already a success story. We have been able to regain market share and similar things can be done in different markets. India made tractors can be sold through Kubota sales network, so that the sales company of Kubota can also get profit and EKL can also make profit," Fukuoka noted. At present, exports account for 5 per cent of EKL's total sales and in the long term it is aiming to increase it to around 10-15 per cent.
Economic Times
39 minutes ago
- Economic Times
Breakout or Breakdown? June 30 could set Nifty's next big move, says Harshubh Shah
The Indian equity markets wrapped up the week on a strong footing, with the Nifty50 registering a 2% gain for the week ended June 27, 2025. Tired of too many ads? Remove Ads Review: Time + Levels = Tactical Precision Tired of too many ads? Remove Ads Time-based forecasting once again proved its merit. Intraday reversals aligned remarkably well with pre-identified time windows: Tired of too many ads? Remove Ads Time-Cycle Alert: June 30, 2025 Intraday Time Slots: July 1–5, 2025 Nifty Levels to Watch Trading Outlook (Disclaimer: The opinions expressed in this column are that of the writer. The facts and opinions expressed here do not reflect the views of .) The Indian equity markets wrapped up the week on a strong footing, with the Nifty50 registering a 2% gain for the week ended June 27, sentiment dominated four out of the last five trading sessions, backed by a sharp intraday rally, resilient support zones, and strategic time-based inflection points that aligned well with recent market of the key supporting signals for the bulls was the continued decline in India VIX , which slipped by 1.6% to close at 12.39 on Friday.A lower VIX indicates reduced volatility expectations and bolsters investor confidence—an encouraging sign heading into the final trading sessions of the first half of our previous update, we had highlighted June 25 (±1 trading day) as a high-alert reversal window — and the Nifty responded in textbook 24: Nifty opened with a sharp 225-point gap-up and showed high intraday volatility. This move set the stage for a 300+ point rally across the next two resistance level of 25,322 proved precise — Nifty made a day high exactly at this level before a sharp June 25, support at 25,145 held strong, triggering a June 26, both 25,322 and 25,434 acted as important swing zones, highlighting the strength of price-time 23: 10:30 AM slot matched day low at 10:15 AM; day high came at 1:30 24: 9:20 AM low and 1:45 PM high aligned with projected time 25: Price action remained range-bound near the 11:40 AM slot; 1:30 PM marked the day 26: 10:15 AM saw a swing high, and momentum returned just before the 12:25 PM 27: The market picked up pace at 10:45 AM and peaked exactly at 12:40 PM — both matching the forecasted after week, the convergence of time and levels continues to deliver high-probability swing and intraday setups for tactical 30 will be a crucial decision day. Watch for a breakout or breakdown from the high/low of the day — this could determine the next major directional leg for Nifty. A clear trend emerging from this session could set the tone for early can use the following key time windows to identify potential intraday trend shifts, reversals, or high-probability entry/exit points:Monday, June 30: 9:25 AM | 11:10 AM | 12:35 PM | 2:40 PMTuesday, July 1: 9:15 AM | 10:20 AM | 11:20 AMWednesday, July 2: 11:20 AM | 12:45 PMThursday, July 3: 9:25 AM | 12:15 PMFriday, July 4: 12:20 PM | 1:35 PM | 2:30 PMThese are critical times where intraday volatility, breakout attempts, or trend reversals are most likely to occur. Use lower timeframes for | 25,434 | 25,320 | 25,120 | 24,978 | 24,856Resistances:25,600 | 25,910 | 26,234A sustained move above 25,910 could open the gates for a test of 26,234, while a breach below the 25,120–25,320 zone may attract selling pressure and trigger a corrective time clusters and support-resistance levels tightly aligned, tactical traders should remain alert, especially on June 30, a key inflection day. Stick to disciplined setups, use time-level alignment, and let price action confirm your trades. Precision continues to be the edge in this market.(The author is Director, Wealthview Analytics Pvt Ltd)(Disclaimer: Recommendations, suggestions, views, and opinions given by experts are their own. These do not represent the views of The Economic Times.)
Time of India
an hour ago
- Time of India
51-49 Senate vote: Three Republicans who said 'no' to Trump's 'Big Beautiful' bill
Senator Rand Paul of Kentucky(left), US President Donald Trump (middle), Senator Thom Tillis of North Carolina (right) Three Republican senators—Thom Tillis of North Carolina, Rand Paul of Kentucky, and Ron Johnson of Wisconsin—broke ranks on Saturday late-night senate session as the chamber voted 51–49 to advance President Donald Trump's sweeping One Big Beautiful Bill Act. Tillis and Paul opposed the motion outright, while Johnson initially voted no before switching after negotiations. Tillis cited concerns over deep Medicaid cuts, warning of adverse impacts on healthcare access in his state. Paul objected to a provision raising the national debt ceiling by USD 5 trillion. Johnson changed his vote following closed-door talks that addressed his deficit concerns. The nearly 940-page bill seeks to extend USD 3.8 trillion in Trump-era tax breaks, add new exemptions including no federal taxes on tips, and allocate USD 350 billion for national security and immigration enforcement. It proposes significant cuts to Medicaid, food stamps, and green energy programs to offset costs. A revised provision includes a USD 25 billion fund for rural hospitals, aimed at mitigating concerns over Medicaid provider tax reductions. The bill also raises the SALT deduction cap to USD 40,000 for five years and increases the national debt limit. According to the Congressional Budget Office, the bill could result in 11.8 million more uninsured Americans by 2034. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like local network access control Esseps Learn More Undo It estimates food aid would drop for 3 million recipients. The wealthiest earners would see a USD 12,000 tax cut, while the poorest households could lose USD 1,600 annually. On Sunday, President Trump described the Senate's procedural clearance as a "great victory." "Tonight we saw a GREAT VICTORY in the Senate with the GREAT, BIG, BEAUTIFUL BILL," he posted on Truth Social. He thanked Republican senators Rick Scott, Mike Lee, Ron Johnson, and Cynthia Lummis for their support. "They, along with all of the other Republican Patriots who voted for the Bill, are people who truly love our Country!" Trump wrote. He pledged to work with them to advance his economic agenda, citing goals to secure the border, reduce spending, and protect Second Amendment rights. In a separate post, Trump added, "VERY PROUD OF THE REPUBLICAN PARTY TONIGHT. GOD BLESS YOU ALL!" The bill was released late Friday night. Debate in the Senate is expected to continue through the weekend, with multiple amendments and votes ahead. If passed, the legislation will return to the House for final approval before heading to Trump's desk. Also read | Donald Trump hails 'great victory' as his spending bill squeezes through Senate for debate
