Budget 2024: Emphasis should be on cheap houses in the budget, CBRE gave these suggestions

Emphasis should be on cheap houses in the budget

CBRE has given some suggestions to the government to increase the scope of affordable housing scheme, which includes increasing the cost of the property along with carpet area etc.

Everyone dreams of having their own house. The government's affordable housing scheme is very effective in realizing this dream of the people. In this, buyers of houses worth up to Rs 45 lakh are encouraged, but due to the rising property rates, it is very difficult to get a house at this price in big cities like Delhi-NCR and Mumbai. In such a situation, CBRE has given some suggestions to increase its scope. He has appealed that in the general budget of the year 2024-25, the government should make changes in the carpet area etc. including the cost of the property to increase the reach of affordable houses.

What is the current norm for affordable housing?

According to the current criteria for affordable housing, the cost of the property should be up to Rs 45 lakh. At the same time, carpet area (60 square meters to 90 square meters) and the income of the home buyer must be in EWS and LIG category. In such a situation, CBRE has said in its budget related suggestion that to make the scheme even better, the cost, size and income criteria should be expanded, so that more and more people can benefit.

Create different brackets according to metro cities

CBRE CEO and Chairman (India) Anshuman Magazine suggests that in this year's budget, the government should increase the existing scale of affordable housing for metro cities. In particular, the area size should be increased to more than 90 square meters. The government should set eligibility criteria based on the dynamics of the city and state. They should create three to four brackets of units, size and prices, because the price of a house in big metro cities, especially Mumbai and Delhi-NCR, is much higher than other cities.

Focus should also be on these sections

The government runs the Pradhan Mantri Awas Yojana (PMAY) to provide financial assistance for the construction of rural and urban houses, the government had increased its budget to build an additional three crore houses under this scheme. This announcement of the cabinet gave a big boost to the affordable housing sector. Keeping this in mind, the government had talked about starting a separate scheme for eligible sections of the middle class living in rented houses, slums, chawls and unauthorized colonies in the interim budget of 2024-25. CBRE has said in its suggestion that this scheme should be implemented as soon as possible.

Demand to restart home loan tax exemption

First-time homebuyers under the affordable housing category get the benefit of a tax deduction of Rs 1.5 lakh on interest paid on home loans under Section 180EEA. This deduction was extended till March 31, 2022. This provided a lot of relief to home buyers. CBRE has demanded the resumption of this initiative in its suggestion report.