Real Estate Leaders Voice Key Budget Expectations

Real estate industry leaders are pushing for transformative measures in the upcoming Union Budget. Their demands include tax reliefs, enhanced funding, and granting industry status to real estate. Increasing tax deductions, revising affordable housing price caps, and promoting rental housing are highlighted as priorities for economic growth.

As the Union Budget looms, the real estate sector in India is voicing its demands for transformative changes to revive affordable housing, streamline regulations, and boost market demand. Key expectations from industry leaders include tax reliefs, increased funding, and the granting of industry status to real estate.

Niranjan Hiranandani, Chairman of NAREDCO, emphasized the importance of making homeownership more affordable. He suggested raising the tax deduction limit on home loan interest from Rs 2 lakh to Rs 5 lakh and advocated for infrastructure status for the housing sector to lower borrowing costs and improve access to financing.

Anuj Puri, Chairman of ANAROCK Group, called for the revival of the Credit-Linked Subsidy Scheme under the Pradhan Mantri Awas Yojana to aid first-time homebuyers. He urged for a revision of the Rs 45 lakh price cap for affordable homes in high-cost cities and suggested releasing centrally controlled land for affordable housing projects.

Anshuman Magazine, Chairman & CEO of CBRE India, highlighted the need to address rising construction and borrowing costs. He proposed revising the affordable housing price cap, offering tax incentives for REIT investments, and increasing tax deductions for home loan interest to attract new investors and relieve homebuyers.

Ritesh Mehta, Senior Director at JLL India, underscored the importance of granting industry status to real estate. This would enable developers to access cheaper loans, reducing construction costs and benefiting homebuyers. With real estate contributing significantly to India's GDP, these measures could bolster both the sector and the broader economy.

With a focus on affordable housing and infrastructure development, industry leaders believe these measures could help the residential segment regain momentum in 2025, supporting overall economic growth.

(With inputs from agencies.)