To relieve the
real estate sector of some tension, Finance Minister Nirmala Sitharaman said
that the government was extending a one-year extension to the CLSS or Credit Linked Subsidy Scheme which started in 2017 and ended on
March 31, 2020. Until March 2021. This will help boost the demand for
affordable housing.
The extension of
the credit link subsidy scheme for a year will encourage many potential house
buyers to buy houses, thereby increasing demand for affordable housing. There
is currently a lot of untold inventory in the industry.
The mega-move
will also help in maintaining employment as real estate is one of the largest
labor intensive industries supporting around 200 allied industries. The
proposed affordable rental accommodation under PPP is a welcome step. This will
effectively help the issues of majority migrant laborers. Most of these urban
poor live in miserable condition
Industry experts believe that the
government's move to affordable housing in the last six years has been a great
step forward. Its 'Housing for All by 2022' project has resulted in many soaps
and incentives. In the last few years there has been a significant increase in
buyer activities in the affordable segment.
Allowing new units and players to
enter the affordable housing segment to build these rented dwellings, allowing
manufacturing units and industries to take concessions and follow the same BOT
model as road projects will do.
