Budget expectations in real estate sector

22 Jan 2021 CW Staff

While timely interventions and concessions have helped in increased traction in the real estate sector, additional measures will bolster growth. Ramesh Nair writes.

The government made necessary and timely interventions through liquidity infusion, fiscal support and reform driven investments in the initial leg of relief measures. Further, the Central Bank and the Central Government rolled out other critical measures including loan moratorium, relaxation of NPA classification norms, one-time restructuring of corporate and personal loans (including home loans), etc. These measures and concessions have definitely helped in enhancing consumer sentiment, thus boosting consumption, resulting in increased traction in the real estate sector. While we have seen a continuance of recovery in the fourth quarter which started in Q3 2020, the actual market transaction volumes continue to be lower compared to pre-Covid levels.

In this context, following additional measures will aid in spurring consumption, investment; thus, resulting in a sustenance of a recovery led growth in the next few quarters.

Accord industry status to the real estate sector
Extension of benefit u/s 80EEA to avail additional Rs 150,000 interest deduction on home loans to the following:
Existing homebuyers who have already availed home loans
First time homebuyers to include mid segment as well
Separate provision for deduction of 'principal repayment' on home loans
Restriction on setting off loss from house property against other heads of income at Rs 0.2 million to be removed
Reduction in holding period of REITs for long-term capital gains
Allow 100% FDI in completed residential real estate projects through the automatic route
Allowing input tax credit on calculation of GST payable in real estate

Author: Ramesh Nair is CEO and Country Head (India), Jones Lang LaSalle (JLL), an American commercial real estate services company.

4th Indian Cement Review Conference 2021

17-18 March

Click for event info

While timely interventions and concessions have helped in increased traction in the real estate sector, additional measures will bolster growth. Ramesh Nair writes. The government made necessary and timely interventions through liquidity infusion, fiscal support and reform driven investments in the initial leg of relief measures. Further, the Central Bank and the Central Government rolled out other critical measures including loan moratorium, relaxation of NPA classification norms, one-time restructuring of corporate and personal loans (including home loans), etc. These measures and concessions have definitely helped in enhancing consumer sentiment, thus boosting consumption, resulting in increased traction in the real estate sector. While we have seen a continuance of recovery in the fourth quarter which started in Q3 2020, the actual market transaction volumes continue to be lower compared to pre-Covid levels. In this context, following additional measures will aid in spurring consumption, investment; thus, resulting in a sustenance of a recovery led growth in the next few quarters. Accord industry status to the real estate sector Extension of benefit u/s 80EEA to avail additional Rs 150,000 interest deduction on home loans to the following: Existing homebuyers who have already availed home loans First time homebuyers to include mid segment as well Separate provision for deduction of 'principal repayment' on home loans Restriction on setting off loss from house property against other heads of income at Rs 0.2 million to be removed Reduction in holding period of REITs for long-term capital gains Allow 100% FDI in completed residential real estate projects through the automatic route Allowing input tax credit on calculation of GST payable in real estate Author: Ramesh Nair is CEO and Country Head (India), Jones Lang LaSalle (JLL), an American commercial real estate services company.4th Indian Cement Review Conference 20214th Indian Cement Review Conference 202117-18 March Click for event info

Equipment

09 Jan 2026

BKT Partners All Teams in India’s Women’s T20 League

Balkrishna Industries (BKT), a global leader in the off-highway tyre market, announced its association as the Official Tyre Partner for all five teams competing in India’s premier women’s T20 championship – Mumbai Indians, Royal Challengers Bangalore, Delhi Capitals, Gujarat Giants, and UP Warriorz – for the upcoming season. This move reinforces BKT’s commitment to using sport as a platform for inclusion, opportunity, and long-term development.These partnerships reflect BKT’s belief in the transformative power of sport, particularly in advancing women’s participation and creating..

Infrastructure Energy

09 Jan 2026

Rajesh Power Secures 65 MW BESS Project in Gujarat

Rajesh Power Services has recently secured a 65 MW / 130 MWh standalone Battery Energy Storage System (BESS) project in Gujarat, marking its entry into utility-scale energy storage. The company received a Letter of Intent from Gujarat Urja Vikas Nigam for the project, which will be developed at Virpore under a tariff-based competitive bidding mechanism supported by Viability Gap Funding through the Power System Development Fund.The project is expected to be executed within 18 months from the signing of the Battery Energy Storage Purchase Agreement. With the ability to supply 65 MW of power for..

Infrastructure Energy

09 Jan 2026

ONGC Forms JV with MOL for Ethane Shipping Operations

Oil and Natural Gas Corporation (Oil and Natural Gas Corporation) has recently entered the ethane shipping segment through joint venture agreements with M/s Mitsui O.S.K. Lines Ltd (Mitsui O.S.K. Lines), Japan. The agreements involve equity participation in two joint venture entities—Bharat Ethane One IFSC Private Limited and Bharat Ethane Two IFSC Private Limited—registered at GIFT City, Gandhinagar.Under the arrangement, ONGC will subscribe to 2,00,000 equity shares of Rs 100 each in both entities, resulting in a 50 per cent equity holding in each joint venture, with the remaining stake ..