Real Estate Expectations from Union Budget 2017-18

17 Jan 2017 CW Staff

According to Deepak Kapoor, President, CREDAI western Uttar Pradesh, “A lot many aspects have to be looked into when it comes to the real estate sector. The government has to realise that the sector is catering to one of the most important aspects of people, ie housing. We all know that we are far behind the target of delivering affordable houses by 2022, where the target of delivering around 30 lakh houses per year is being missed by miles every year. To make the sector achieve the target and deliver homes, the government must come up with a slew of measures that can assist the developers to help the government realise this dream. It all means that the government must work on tax assumptions, single-window clearance, rental housing, right tax slab of GST for the real estate sector and an industry status for the sector.”

According to Akshay Taneja, Managing Director, TDI Infratech, “Clarity of GST, as to which tax rate will be applied to the real estate sector is awaited. This will define the way the real estate sector will move this financial year. Another important step would be to increase the tax deduction limit for housing loans especially for the buyers in metro cities. If the government can take care of these two things in this budget, then the sector will definitely witness a boost in sales. This we can say from the latest step, where banks have already slashed home loan interest rates.”

According to Prashant Tiwari, Chairman, Prateek Group, “Initiatives like Smart Cities, RERA and GST are going to help the real estate sector. However, we are waiting for clarity in initiatives such as GST that would help the sector realise its potential. It would be good if the sector can be granted an industry – the demand that has been pending for quite some time now. Once the industry status is accorded to real estate, it would then become easier to make the dream of affordable housing for all a reality. As of now, the affordable housing target is far behind, and it can only become achievable if the sector gets an industry status, which would pave way for cheaper financial options for real estate developers.”

According to Deepak Kapoor, President, CREDAI western Uttar Pradesh, “A lot many aspects have to be looked into when it comes to the real estate sector. The government has to realise that the sector is catering to one of the most important aspects of people, ie housing. We all know that we are far behind the target of delivering affordable houses by 2022, where the target of delivering around 30 lakh houses per year is being missed by miles every year. To make the sector achieve the target and deliver homes, the government must come up with a slew of measures that can assist the developers to help the government realise this dream. It all means that the government must work on tax assumptions, single-window clearance, rental housing, right tax slab of GST for the real estate sector and an industry status for the sector.” According to Akshay Taneja, Managing Director, TDI Infratech, “Clarity of GST, as to which tax rate will be applied to the real estate sector is awaited. This will define the way the real estate sector will move this financial year. Another important step would be to increase the tax deduction limit for housing loans especially for the buyers in metro cities. If the government can take care of these two things in this budget, then the sector will definitely witness a boost in sales. This we can say from the latest step, where banks have already slashed home loan interest rates.” According to Prashant Tiwari, Chairman, Prateek Group, “Initiatives like Smart Cities, RERA and GST are going to help the real estate sector. However, we are waiting for clarity in initiatives such as GST that would help the sector realise its potential. It would be good if the sector can be granted an industry – the demand that has been pending for quite some time now. Once the industry status is accorded to real estate, it would then become easier to make the dream of affordable housing for all a reality. As of now, the affordable housing target is far behind, and it can only become achievable if the sector gets an industry status, which would pave way for cheaper financial options for real estate developers.”