# Real estate: Follow one offering through the chain Developers, landlords and managers of homes, offices, warehouses and shops Source page: https://www.materialinsights.org/industries/real_estate/story/ #### Follow one offering through the chain **3** Example story · 7 steps · India ### A new flat in a Mumbai tower Follow a home from a land deal and a RERA number to a loan and a sale. 1 / 7 · Land and approvals #### Land first, bought or shared **18**projects Godrej Properties added, FY26 Every tower starts with a parcel of land, bought outright or contributed by a landowner or an old housing society in return for a share of the new flats. Clean title is the first test, as Indian land records are often fragmented or disputed. Godrej Properties added 18 projects in 2025-26, with about 33 million sq ft to sell and ₹42,100 crore of potential bookings.^[1](https://nsearchives.nseindia.com/corporate/GODREJPROP_10042026055414_SEIntimationPR10042026.pdf) **Constraint** Title disputes, fragmented ownership and residents' consent for redevelopment can hold a site up for years before any approval is sought. [Professional services](https://www.materialinsights.org/industries/professional_services/) 2 / 7 · Land and approvals #### Approved by the city and MahaRERA **4,204**new MahaRERA registrations, 2025-26 The municipal authority approves the building plan and floor area, then MahaRERA registers the project, fixing a completion date and requiring disclosures to buyers. In 2025-26 MahaRERA approved 10,379 applications: 4,204 new project registrations, 3,687 deadline extensions and 2,488 corrections, according to its data. The Mumbai region accounted for 5,494 of them.^[2](https://www.outlookmoney.com/invest/maharera-clears-10379-housing-projects-in-fy26-reason-behind-the-strong-realty-growth-across-maharashtra) **Constraint** Many projects overrun: extensions were over a third of approvals (calculated), and the regulator can revoke a defaulting developer's registration. [Public administration, defence and security](https://www.materialinsights.org/industries/public_admin/) 3 / 7 · Development finance #### Funded by buyers and lenders **70%**buyer money ring-fenced under RERA Construction is paid for by developer equity, construction loans, private credit funds and, above all, buyers' instalments. Section 4(2)(l)(D) of the RERA Act requires 70% of buyers' money to sit in a separate bank account for that project's land and construction, withdrawn only as an engineer, architect and accountant certify progress. Godrej Properties collected ₹19,965 crore in 2025-26, up 17%.^[3](https://www.indiacode.nic.in/bitstream/123456789/2158/1/a2016-16.pdf)^,^[1](https://nsearchives.nseindia.com/corporate/GODREJPROP_10042026055414_SEIntimationPR10042026.pdf) **Constraint** If sales slow, pre-sale funding dries up; after the 2018 NBFC crisis many projects stalled for years until funds such as SWAMIH stepped in. [Finance: banking, insurance, markets](https://www.materialinsights.org/industries/finance/) 4 / 7 · Development and design #### Designed and sold by the developer **₹34,171cr**Godrej Properties bookings, 2025-26 The developer chooses flat sizes, amenities and price, hires architects and contractors, and sells most flats before completion. Godrej Properties booked ₹34,171 crore of sales in 2025-26, up 16%, for 17,515 units covering 27 million sq ft; ₹10,313 crore of that came from the Mumbai Metropolitan Region.^[1](https://nsearchives.nseindia.com/corporate/GODREJPROP_10042026055414_SEIntimationPR10042026.pdf) **Constraint** Land and approval costs come first while revenue arrives over years, so a slowdown in bookings quickly strains a developer's cash flow. [Cem Cement](https://www.materialinsights.org/commodities/cement/)[St Steel](https://www.materialinsights.org/commodities/steel/)[Agg Sand & gravel](https://www.materialinsights.org/commodities/sand_gravel/)[Pnt Paints and coatings](https://www.materialinsights.org/chemicals/paints_coatings/)[Construction and infrastructure](https://www.materialinsights.org/industries/construction/)[Finance: banking, insurance, markets](https://www.materialinsights.org/industries/finance/) 5 / 7 · Construction #### Built in concrete, floor by floor **470 Mt**India's cement output, 2025 (estimate) A contractor pours the tower's foundations and frame in reinforced concrete, often using reusable aluminium formwork to cast floor after floor, then adds walls, pipes, wiring, lifts and finishes. The cement comes from a national industry that made about 470 million tonnes in 2025, second only to China's 1.7 billion tonnes, by US Geological Survey estimates.^[4](https://pubs.usgs.gov/periodicals/mcs2026/mcs2026-cement.pdf) **Constraint** Curbs on river-sand mining push builders to manufactured sand, and labour shortages around festivals and harvests slow sites for weeks. [Cem Cement](https://www.materialinsights.org/commodities/cement/)[St Steel](https://www.materialinsights.org/commodities/steel/)[Agg Sand & gravel](https://www.materialinsights.org/commodities/sand_gravel/)[Al Aluminium](https://www.materialinsights.org/commodities/aluminum/)[Con Construction chemicals](https://www.materialinsights.org/chemicals/construction_chemicals/)[Construction and infrastructure](https://www.materialinsights.org/industries/construction/)[Electrical equipment](https://www.materialinsights.org/industries/electrical_equipment/) 6 / 7 · Ownership and capital markets #### Paid for with a home loan **5.5%**RBI repo rate, October 2026 Most buyers borrow from a bank or housing-finance company such as HDFC Bank, SBI or LIC Housing Finance, usually at floating rates linked to an external benchmark such as the RBI's repo rate. The RBI cut the repo rate by 125 basis points in 2025, to 5.25%, then raised it to 5.5% in October 2026, and benchmark-linked loan rates follow each move.^[5](https://www.business-standard.com/finance/news/rbi-s-mpc-delivers-again-takes-2025-rate-cut-tally-to-125-basis-points-125120501302_1.html)^,^[7](https://www.dtnext.in/news/business/highlights-of-rbis-october-bi-monthly-monetary-policy) **Constraint** Affordability rests on rates: at 7-10%, one percentage point more lifts a 20-year loan's instalment by about 7-8% (calculated). [Finance: banking, insurance, markets](https://www.materialinsights.org/industries/finance/) 7 / 7 · Transactions and property services #### Matched by brokers and portals **-18%**Mumbai-region home sales, 2025 Buyers find the flat through property portals, channel-partner brokers paid a commission by the developer, and consultants such as Anarock, JLL and Knight Frank, who also track the market. Anarock counted 395,625 homes sold in the top seven cities in 2025, down 14%, while sales value rose 6% to over ₹6 lakh crore; Mumbai-region sales fell 18% to 127,875.^[6](https://www.outlookbusiness.com/corporate/housing-sales-volume-down-14-in-2025-in-7-cities-anarock) **Constraint** Average prices in the top seven cities rose 8% to ₹9,260 per sq ft as volumes fell, so stretched affordability shrinks the pool of buyers. [Professional services](https://www.materialinsights.org/industries/professional_services/)[Software and IT services](https://www.materialinsights.org/industries/software_it/) #### What the chain shows A Mumbai flat is a bet on land, approvals and interest rates more than on bricks; RERA's escrow and disclosure rules have made that bet safer for buyers. Sources 1. [Godrej Properties press release: record FY2026 bookings and collections](https://nsearchives.nseindia.com/corporate/GODREJPROP_10042026055414_SEIntimationPR10042026.pdf) Godrej Properties (NSE filing), 2026 2. [MahaRERA clears 10,379 housing projects in FY26 (MahaRERA data)](https://www.outlookmoney.com/invest/maharera-clears-10379-housing-projects-in-fy26-reason-behind-the-strong-realty-growth-across-maharashtra) Outlook Money, 2026 3. [Real Estate (Regulation and Development) Act, 2016, section 4(2)(l)(D)](https://www.indiacode.nic.in/bitstream/123456789/2158/1/a2016-16.pdf) Government of India (India Code), 2016 4. [Mineral Commodity Summaries 2026: Cement](https://pubs.usgs.gov/periodicals/mcs2026/mcs2026-cement.pdf) US Geological Survey, 2026 5. [RBI's MPC delivers again, takes 2025 rate cut tally to 125 basis points](https://www.business-standard.com/finance/news/rbi-s-mpc-delivers-again-takes-2025-rate-cut-tally-to-125-basis-points-125120501302_1.html) Business Standard, 2025 6. [Housing sales volume down 14% in 2025 in 7 cities: Anarock](https://www.outlookbusiness.com/corporate/housing-sales-volume-down-14-in-2025-in-7-cities-anarock) Outlook Business (PTI), 2025 7. [Highlights of RBI's October bi-monthly monetary policy](https://www.dtnext.in/news/business/highlights-of-rbis-october-bi-monthly-monetary-policy) DT Next (PTI), 2026 ## Other sections - [Overview](https://www.materialinsights.org/industries/real_estate/index.md) - [Where ₹100 goes](https://www.materialinsights.org/industries/real_estate/cost-mix/index.md) - [Price links with suppliers](https://www.materialinsights.org/industries/real_estate/price-links/index.md) - [Linked industries](https://www.materialinsights.org/industries/real_estate/linked-industries/index.md) - [Value chain](https://www.materialinsights.org/industries/real_estate/value-chain/index.md) - [Materials drawn on](https://www.materialinsights.org/industries/real_estate/materials/index.md) - [Chokepoints and risks](https://www.materialinsights.org/industries/real_estate/risks/index.md) - [Sources](https://www.materialinsights.org/industries/real_estate/sources/index.md)