Many of the property developers have expressed their positive views towards the recent Budget 2017 present by the Minister of Finance, Arun Jaitley.
The government granting industry status to affordable housing can put lots of pressure off from the sector. In another update, the National Housing Bank (NHB) announced to refinance individual loans of about Rs 20,000 crore in this year which is giving a major push to affordable housing.
The builders and advisory companies are also thrilled at the decision of lowering the income tax for the salaried class in 3-5 lakh range as the middle income individuals will get the confidence and the power to invest in the real estate sector.
“The government’s move to lower the tax limit for people in the Rs 2.5 to Rs 5 lakh salary slab by 5 % will encourage more young buyers to take the plunge since there will be more disposable income at their hands,” says Jaffer Ali, Founder & CEO, PropUrban.
Moreover, the area of affordable housing unit to 30 to 60 sq. mt. carpet area from built up area which automatically enhances the space by 25 to 30 per cent. The centre has also extended the time horizon for project completion from 3 years to 5 years to avail tax benefits that will encourage developers to pursue development process with more focus.
Source: ET Realty