Real Estate Update

Developers stay away from affordable housing

January 2015
Developers are staying away from affordable housing projects owing to expensive land, high financing costs, and multiple approvals. According to a Cushman & Wakefield study, launches in the affordable housing segment dropped by 52 per cent in eight cities in the third quarter of 2014 as against the corresponding period last year. According to government estimates, the housing shortage in India is close to 18.78 mn, of which 97 per cent is in the economically weaker section and low income group.