**Trump’s New Visa Policy Could Impact India’s Real Estate Market**
*By Akash Pandey | Sep 20, 2025, 07:13 PM*
**Overview**
US President Donald Trump has introduced a new visa policy that may significantly affect India’s real estate market. Starting September 21, 2025, most H-1B visa petitions will incur a hefty $100,000 annual fee. This policy change is expected to primarily influence the residential property market in major Indian metropolitan cities, while the commercial sector could experience contrasting effects, especially through the expansion of Global Capability Centres (GCCs).
**Impact on Indian Cities**
With over 71% of H-1B approvals in fiscal year 2024 granted to Indian nationals, experts foresee that the new fee will discourage onsite deployments and reduce overseas hiring. This is likely to negatively impact remittance-backed home buying and long-term housing plans among tech professionals. Cities such as Bengaluru, Hyderabad, Pune, and Gurugram are anticipated to be the most affected by this policy shift.
**Housing Market Risks**
Real estate experts have highlighted three critical risks facing the residential market:
– A decline in demand for premium housing
– Delayed property purchases due to postponed relocations to the US
– Slower absorption rates for mid-to-high-end housing projects targeting tech buyers
A real estate consultant based in Delhi NCR noted that the sudden increase in visa-related costs may dampen the enthusiasm of families counting on US assignments for investing in properties back home.
**Investments and Remittances**
Remittances have long been a major driver of housing demand in India. Pareekh Jain, CEO of Pareekh Consulting, emphasized that while primary housing demand may rise as some individuals return from the US or relocate within Indian metros, overall investment demand in real estate is likely to weaken due to declining remittance flows and increased job insecurity.
Similarly, Vishal Raheja, Founder and MD of InvestoXpert, stated that the proposed H-1B visa fee could have a dampening effect on housing demand in India.
**Potential Boost for Commercial Real Estate**
Despite the challenges facing the residential sector, there could be opportunities for growth in commercial real estate. As American companies reconsider their staffing strategies, the development of Global Capability Centres (GCCs) in India may accelerate. This shift is expected to drive increased office space leasing and infrastructure development, especially in metros like Bengaluru, Hyderabad, and Pune.
According to CBRE data, GCCs currently account for 35-40% of office space absorption in these cities, highlighting their growing importance to the commercial realty market.
**Changing Investment Patterns**
As developers, buyers, and investors adapt to these new dynamics, India’s real estate market is likely to see a tilt toward mid-segment housing and rental properties. Akash Puri of India Sotheby’s International Realty commented that higher H-1B visa costs may encourage top talent to explore luxury real estate markets in other global cities, thereby creating fresh demand in areas known for stability and lifestyle appeal.
—
The new visa policy presents both challenges and opportunities, signaling a period of adjustment for India’s real estate sector. Stakeholders will need to closely monitor these developments to navigate the evolving landscape effectively.
https://www.newsbytesapp.com/news/business/trump-s-h-1b-fee-threatens-india-s-property-boom-in-tech-hubs/story