Summary of this article
PropTech is reshaping real estate operations.
AI boosts efficiency and decision-making.
Smart cities accelerate PropTech adoption.
The Indian real estate sector is in a new phase of digital transformation. This is due to advances in property technology emerging as a key driver of this growth. According to a KPMG report, India’s National Urban and Real Estate Development Conclave 2026, PropTech is no longer just an innovation layer but a standard that is changing the industry in real time. PropTech changes how real estate is handled from planning, developing, transacting, and managing.
The report highlights how the Indian real estate market is changing towards a digitally backed initiative, such as Digital India, the Smart Cities Mission and the ongoing attempts at digitalising land records and property transactions. Initiatives like this have laid the foundation for a more transparent, efficient, and accountable real estate diaspora. This allows Proptech Solutions to gain attribution across the segment.
One of the biggest advantages and plus points of including PropTech is its ability to streamline property management and project execution. Technologies such as Artificial Intelligence (AI), digital twins, building information modelling (BIM) and property management systems are helping developers to optimise their designs, reducing construction delays, improving facility management, and making data-driven decisions throughout the project’s duration. As per the report, AI-powered tools and digital modelling are transforming conventional workflows into intelligent, predictive systems that improve operational efficiency by closing the gaps.
The report identifies smart city infrastructure as a major driver of PropTech adoption. Systems enabled with Integrated Command and Control Centres (ICCCs) and Internet of Things (IoT) allow cities to manage transport, waste management solutions, utilities and public safety through real-time monitoring and solutions. As of May 2025, India has operational ICCCs across 100 cities, with nearly 94 per cent of smart cities mission projects being completed. This expanded the digital infrastructure, which created significant opportunities for PropTech companies to bring urban solutions to this.
AI is expected to become the next major accelerator of PropTech growth. KPMG notes that India’s position is as one of the world’s leading AI-supported ecosystems. This provides a strong foundation for integrating AI into real estate operations. AI has the potential to automate property valuation by analysing structured property data, predict demand, improve customer experiences and enable predictive maintenance for property assets.
As the Indian real estate market moves towards its long-term vision of becoming a multi-trillion-dollar industry, PropTech plays a major role in improving productivity. KPMG concludes that technology-enabled innovation in this industry is essential for creating smarter cities and improving execution for developers, investors, and homebuyers alike.
