To implement the pending Real Estate Regulatory Authority Bill, finally Prime Minister’s Office had to step in. PMO has directed both housing and urban poverty alleviation and urban development ministries to sort out their issues and implement the bill soon.
Pending Real Estate Regulatory Authority Bill sped by PMO.
The implementation of Real Estate Regulatory Authority Bill has been delayed due to the war between the Ministry for Housing and Urban Poverty Alleviation (MHUPA) And the Ministry for Urban Development. Finally, these ministries are ordered to solve out the issues and soon implement the Bill.
Real Estate Regulatory Authority Bill aims to protect the property buyers from the developers who often use canny methods. MHUPA initiated the Real Estate Regulatory Authority Bill to protect the buyers’ interest and placed it in the Cabinet for Clearance. Continue reading
Indian Economy is highly influenced by real estate. The black money existing in the real estate harms the Economy of India. MHUPA’s regulatory bill will act as a means to reduce the play of “black money” existing in the real estate.
Many real estate developers demand payment in cash at least up to 30 % of the total amount. This denotes to the existence of Black money in real estate industry. The existence of Black money costs India tax worth billions of rupees.
India government is to bring Legislation which will assure more transparency to the real estate dealings. This legislation will be discussed in parliament’s winter session. Continue reading
The newly appointed Union Minister for Housing and Urban Poverty Alleviation (MHUPA) Mr. Ajay Maken said that the government plans to appoint a regulatory body for protecting the home buyers from the hands of real estate sharks.
During a press conference Mr. Ajay Maken said to the media that the MHUPA is about to set up a regulatory body for protecting the home buyers who often face severe troubles from the real estate developers.
On the same occasion the MHUPA Minister did not forget to stress on the need of proper planning in the residential sector. Continue reading
In two months, India could have a brand new affordable housing policy, an effort to give some boost to a weakening real estate sector. The Union Ministry of Housing and Urban Poverty Alleviation (Mhupa) is in the process of finalising such a policy in two months. The government had already allowed external commercial borrowing for low cost houses in India in the annual Budget. But the real estate companies are not too keen on this segment because of the low margins. Hence the government is now trying to make affordable housing attractive for the developers as well.
The policy will raise the floor space index to compensate developers for high cost of land and also ease density norms, the Business Standard article says. It would give capital and interest subsidy to developers. Even government land would be auctioned on the basis of who could build maximum number of low cost houses.
Approvals would be given in six-eight weeks as against almost 70 approvals they require at present which typically take between two to three years.
A recent example of such a case is the allegation by the Maharashtra Chamber of Housing Industry and the Confederation of Real Estate Developers’ Associations of India that plan to construct 500,000 affordable homes in Mumbai, Thane and Raigad districts of Maharashtra is gathering dust due to “inaction and policy paralysis” on the part of the state government. Such projects could be better executed with some sort of a single window clearance system.
On the other hand, the government is also making strict riders for the ECB borrowing so that money cannot be borrowed for low cost housing and transferred to other segments. So the government could mention specific projects and developers that could access the ECB funds and also mention specific channels like National Housing Bank to borrow the funds.