With the Union budget approaching, real estate developers and expert demand industry status for the sector along with simplified single-window clearance system, revision in the GST input tax credit rules. The builders have also demanded that tax rebate on housing loan interest should be enhanced to a minimum of Rs 5 lakh.

Developer bodies like NAREDCO have also demanded that the second tranche of the Special Window for Affordable and Mid-Income Housing (SWAMIH) fund should also be launched with Rs 50,000 corpus in the upcoming union budget for FY 2024-2025.

The real estate sector, which has seen new highs in terms of sales as well as launches in the last one year, expects the Centre to grant it the status of an industry and offer some tax breaks to support low-priced homes, several top executives told Business Standard. Pavitra Shankar, managing director at Brigade Enterprises said that the industry status has been the sector's "one of the long-standing demands"

Keystone Realtors Limited, also known as Rustomjee Group, on July 11 announced its foray into the plotted development segment. It said that the company has acquired a 88-acre land parcel for ₹91 crore in Kasara near the famous hill station Igatpuri, which is about a three hour drive from Mumbai.

Finding a home on rent in any Indian city is no less than going through a maze where every decision takes us in a different direction. From identifying the right property and right landlord to mutually agreeable rent and security deposit, the task is indeed uphill. Not to mention the brokers, that are most of the time devoid of any detailed information about the property or its owners and their only obligation remains to themselves, to earn the brokerage – from landlord and tenant.

The upcoming budget is just a few days away and one of the focus points in it could be to boost affordable housing. Over the past few years, the affordable housing sector has made progress thanks to government initiatives like Pradhan Mantri Awas Yojana, which offered tax benefits to both developers and homebuyers. However, challenges remain in land availability, rising construction costs, and sustainable development practices.

Real Estate Expectations from Budget 2024-25: As the newly formed Modi 3.0 government settles in, all eyes are on the upcoming Budget 2024-25, which Finance Minister Nirmala Sitharaman is likely to present on July 23. The real estate sector has high hopes for this budget, with demands ranging from tax reliefs to affordable housing initiatives and land-related announcements.

Union Finance Minister Nirmala Sitharaman will present the Budget for 2024-25 in the third week of July, outlining anticipated government receipts and expenditures across various sectors.

India's real estate industry eagerly awaits reforms and incentives to foster growth and address long-standing challenges.

Pyush Lohia, Director, Lohia Worldspace “We are hopeful that the upcoming budget will bring significant changes. We are particularly looking for increased investment in infrastructure and meaningful tax reforms. Easing GST on housing would be a significant step, making homes more affordable and driving demand. These measures are crucial not just for our sector but for broader economic growth, job creation, and supporting small businesses. A balanced approach will pave the way for sustainable development.”

As the union budget is nearing, stakeholders of the country’s real estate sector are increasingly putting forward their demand from the Finance Minister Nirmala Sitharaman. While, their demands are wide-ranging - from reduction in goods & services tax (GST) to removal of regulatory hurdles, one of the key demands that is gaining chorus this time is aid for the faltering affordable housing sector.

Real estate developers are seeking slew of measures including rationalisation of taxes, further allocation to the Special Window for Affordable and Mid-Income Housing (SWAMIH) fund and continuation in the government's support for affordable housing in the upcoming Union Budget to help the sector sustain growth by supporting demand creation.

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