The real estate sector anticipates bold measures from the Union Budget to sustain its growth momentum while addressing challenges that impact both developers and homebuyers. The following key areas demand the government’s attention:
- Increasing the tax deduction limit for housing loan interest under Section 24(b) would provide significant relief to homebuyers and stimulate demand. This move is especially critical to support the mid-income and affordable housing segments, which form the backbone of the sector.
- Reinstating the tax holiday under Section 80-IBA for affordable housing projects and increasing the income ceiling for beneficiaries under PMAY-U would enhance housing accessibility for economically weaker sections and low-income groups.
- Introducing a single-window clearance system for project approvals can expedite timelines and reduce carrying costs for developers. This will lead to faster project deliveries, benefiting both developers and end-users.
- Allocating higher funds for urban infrastructure along with enhanced connectivity through metro rail and road networks will unlock the potential for both residential and commercial developments.
We urge the government to introduce progressive policies that not only boost housing demand but also create a sustainable and transparent ecosystem for all stakeholders in the real estate sector. These steps can transform India’s urban landscape while contributing significantly to the nation’s GDP.
