Budget 2013 is expected to offer some hopes to the home buyers as finance minister has signaled some special provisions for the affordable housing segment.
Budget 2013 likely to boost affordable housing.
Budget 2013 is expected to be a real estate- friendly budget as there will be some special provisions to boost the housing segment in the country. Union finance minister P Chidambaram has already hinted that the government has plans to confer infrastructure status at least to the affordable housing segment.
Demands of the realtors are many and may have an end for any of them. They seek tax exemptions, lower interest rates for their loans, lowering the cost of finance for construction sector, and so many others. Some of them demand Single –window clearance for speedy approvals.
Besides all the above said demands, realty players have recently asked for infrastructure status to the entire real estate sector as it would enable them to attain some tax benefits.
However Mr. Chidambaram, slightly confronting their demand for infrastructure status for the entire sector, has said that it can be given only to affordable housing segment, which he considers as a sub-sector of construction sector. All these are matters that will affect the builders and realty developers.
With the Budget 2013, affordable housing may get infrastructure status.
How does it affect the home buyers or how will they benefit out of this Budget 2013? Though in view of 2014-poll, UPA government plans to develop more affordable homes. This is visibly celebrated as their strategy in their run to rule the country for the third consecutive times.
Whether they make the hat-trick or not; their proposed Rajiv Awas Yojana will give homes to lakhs of poor people. Budget 2013 also may introduce the next edition of the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) for urban infrastructure projects. Speeding up of slum rehabilitation schemes would also be introduced in the upcoming Budget 2013.
Confederation of Real Estate Developers Associations of India’s national Chief Mr. Lalit Kumar Jain said that the infrastructure status will make real estate less costly and the developers will be able to provide homes at lower prices.
The housing and urban development minister Ajay Maken has supported granting infrastructure status to housing sector. Further he has also written to the finance ministry regarding income-tax relief and service tax exemptions to the developers who build affordable housing projects.
With all these reforms around the corner, home buyers feel that their dream to own a home will come true; once the Budget 2013 gets through.