Budget 2017 is very good for the affordable housing segment'
“This is a great Budget! All the policies have been made with purpose and give direction to the economy. It is going to increase productivity in the economy, especially in the housing sector and, that too, for the affordable housing, with the aim to achieving the `Housing for all by 2022' vision,“ says Pradeep Aggarwal, joint MD of SMC Global, a financial conglomerate, and chairman of the real estate arm of the group, Signature Global.
The company has started construction of over 7,500 apartments in the affordable sector.
In an interview with Times Property, Aggarwal said that the new provisions made for the sector, especially in giving `infrastructure' status to the affordable housing segment by the finance minister, will go a long way in reviving the sector soon.
Aggarwal says that the government has given a big push to the affordable segment in the Budget, which has a huge potential and would drive not only the realty sector but the economy as a whole. Relaxing the norms to avail tax benefit under Section 80IB of the Income Tax Act would improve the flow of funds into the sector and all these measures put together would certainly increase housing supply at very competitive prices, Aggarwal says.
On the demand side, Aggarwal said there is a huge demand of houses if one can build according to the market demand, which is in the range of Rs 12 lakh to Rs 25 lakh. Announcement of subsidies in home loans of up to Rs 18 lakh to lowerand middle-income groups will be a great driver.
“On the whole, the Budget is very good for the affordable housing segment in the country and I can say with conviction that the government means business when it comes to delivering on its promise of `Housing for all by 2022',“ Aggarwal said.