His ministerial responsibilities have not yet been confirmed, however, it is likely he will be charged with overseeing much of the Housing White Paper unveiled earlier this year.
The Conservative MP for Reading West was previously Parliamentary Under-Secretary of State in the Foreign and Commonwealth Office.
He opposed Brexit and has supported the expansion of Heathrow Airport and free schools.
Sharma was re-elected with a 2,876 majority in last week’s General Election, down from 6,650 at the 2015 election.
He replaces Gavin Barwell who lost his Croydon Central seat last week and has since been appointed chief of staff to prime minister Theresa May.