After COVID-19 realtors were expecting a lot of support from the Government end and it has been fulfilled and clearly conveyed in the current budget of 2021.
Finance Minister said that “The government looks for Housing for all and affordable homes as priority area” in the budget meeting 2021.
In the budget 2021, Rs. 54,581 Crore has been granted to the Ministry of Housing and Urban Affairs.
There is a proposal to increase in safe harbor limit from 10%-20% so that home buyers and real estate developers can get off their some burden.
In the past Budget, the government gave an extra reduction of interest, adding up to Rs 1.5 lakh, for a credit taken to buy a moderate house. FM proposed to expand the qualification of this allowance by one more year, to March 31, 2022. The extra allowance of Rs 1.5 lakh will subsequently be accessible for credits taken up till March 31, 2022, for the acquisition of a moderate house. Further, to keep up the inventory of affordable houses, FM recommended that affordable home ventures can get the benefit of no tax for one more year – till March 31, 2022. To advance the inventory of Affordable Rental Housing for traveler laborers, Sitharaman proposed to permit charge exception for told Affordable Rental Housing Projects
This has been a great initiative by Government that has created a positive impact in the Real estate industry. The home buyers and realtors can shed some tension from their minds. Whereas there has been no such great news in the infrastructure sector but the government is thinking of extending its arms towards this sector too, which help in gaining more capital and more flow of foreign trades.
