What is the size of Residential Rental Market in India | Insights, Trends & Growth Analysis 2025

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Code: MTA11154

Publication Date: Nov 2025

What is the growth rate of the India Residential Rental Market?

According to 6Wresearch internal database and industry insights, India Residential Rental Market is expanding at a CAGR of 7.4% during the forecast period 2025-2031.

The growth in the market can be attributed by flexible living options, rising migration to urban and semi-urban areas, increasing preference for affordable rental housing, growing adoption of digital rental platforms, and rising development of modern co-living and managed rental spaces across major cities.

Key Growth Drivers of the India Residential Rental Market

The demand is rising for affordable and flexible residential rental options
Urban migration and increasing working population are driving rental activity
Adoption of digital platforms for renting and property management is increasing
The rise of co-living and shared housing spaces
More money is going into managed accommodation services.

India Residential Rental Market Trends

India Residential Rental Market is witnessing strong growth with notable trends such as increasing adoption of app-based property discovery and digital verification systems. Co-living spaces are becoming popular with students and young professionals as they offer furnished rooms at reasonable prices. More property owners are choosing to hire professional rental management companies. People want to rent homes in gated communities with better amenities. Also, technology-enabled rental agreements, virtual property tours, and subscription-based rental housing models are changing the industry. Additionally, rising migration to metro cities and the demand for flexible, convenience-driven living options are further increasing the expansion of the residential rental market.

Emerging Developments in the India Residential Rental Market

India Residential Rental Market is evolving with developments in digital tenancy solutions, AI-based tenant screening, and smart property management tools. Expansion of managed accommodation brands is improving standardization and service quality. Investment in co-living infrastructure is increasing, supported by technology-driven booking and payment systems. Furthermore, improved rental analytics, automated rent collection platforms, and community-oriented residential models are contributing to market expansion. Additionally, growing urban migration and rising demand for flexible, are increasing the growth of the residential rental landscape.