NEW DELHI (INDIA):Assotech Realty Managing Director Neeraj Gulati said that the budget has provided the much awaited relief to the real estate sector. The sector has been looking at the Union budget as the game changer and it has introduced recommendations in the right direction. Policy changes throughout 2016 have been helpful in making real estate a more transparent as well as a stronger sector.
“Giving infrastructure status to affordable housing is a welcome move and is likely to result in increased participation from private players and improve capital inflow. Apart from that, National Housing Board (NHB) will also refinance individual loans worth 20000 crore in 17-18 offering capital relief to the lenders. With the lending rates already low, providing tax sops to smaller businesses will also augment the purchasing power and is a welcome step for the real estate sector. Reducing tax slab of individuals will also propel investment in the sector,” said Gulati.
Today, the Union Minister for Finance and Corporate Affairs, Arun Jaitley while presenting the General Budget 2017-18 in Parliament today said that affordable housing will now be given infrastructure status, which will enable these projects to avail the associated benefits.
“The National Housing Bank (NHB) will refinance individual housing loans of about Rs. 20,000 crore in 2017-18. Thanks to the surplus liquidity created by demonetisation, the Banks have already started reducing their lending rates, including those for housing,” said Jaitley.
The Finance Minister Jaitley in his Budget Speech said that in addition, interest subvention for housing loans has also been announced by the Prime Minister Narendra Modi.