RERA spurs investor confidence: 1.5 lakh consumer complaints resolved, PE inflows rise to $26 billion
As of mid-2025, more than 1.5 lakh housing projects and 1 lakh agents are registered under the Real Estate Regulatory Authority (RERA) Act, with 1.5 lakh consumer complaints resolved, Private equity inflows into real estate surged to $26 billion during 2017–2020, up from $17.5 billion in 2011–2016, a sign of growing investor confidence in the sector’s regulatory framework and of RERA’s success in fostering transparency and credibility, according to a report by Knight Frank India released in the capital on August 29.
“Cumulative private equity inflows surged to $26 bn between 2017–2020, compared to just $ 17.5 bn during 2011–2016. This influx of institutional capital reflects greater trust in the sector’s regulatory environment, signalling the success of RERA in building a more credible investment landscape,” said the report released at the 17th Naredco National Convention held in the Capital on August 29.
The sector’s performance has also been reflected in the NIFTY Realty Index, which hit an all-time high in September 2024, further signalling the market’s resilience in the post-RERA era. According to the report, this structural shift has positioned India’s housing market as a long-term investment destination for both domestic and global players.
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Saurabh Mehrotra, executive director, Valuation and Advisory, Knight Frank India, said the impact of the Act is clearly visible in the way capital is flowing into the sector. “For investors, this regulatory environment has helped create transparency and credibility in the residential sector, as reflected in the $26 bn private equity inflows since 2017. Since its inception, RERA has resolved 1.5 lakh consumer complaints while regulating projects and agents at scale. It has firmly established itself as the backbone of India’s residential real estate sector.”
G Hari Babu, president of NAREDCO, said, “As highlighted in the Knight Frank report at the 17th NAREDCO National Convention, housing sales in India touched an all-time high of ₹3.1 lakh crore in 2024, and nearly 1.5 lakh projects and 1.5 lakh consumer complaints have already been addressed under the RERA framework. This journey from opacity to transparency has rebuilt the trust of homebuyers, lenders, and global investors alike. The next step must be to evolve RERA into a more uniform, technology-driven framework across states so that the sector continues to be a backbone of India’s economic rise.”
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More work needs to be done, the report says
While RERA has laid a strong foundation, Knight Frank India noted that more work remains to be done. Strengthening enforcement across states, harmonising compliance frameworks, and adopting a ‘One Nation, One RERA’ model will be critical to further enhance transparency and efficiency.
The report also recommends leveraging technology to streamline approvals and grievance redressal, alongside continued alignment with global best practices in real estate regulation. With India’s housing demand projected to rise steadily in the coming decade, sustaining confidence through consistent policy enforcement will be key.
