Rising construction costs increase home buying costs: CREDAI

30 Oct 2021 CW Team

The Confederation of Real Estate Developers' Associations of India (CREDAI), Maharashtra, asked the homebuyers to be ready for a steep rise in housing costs as the construction sector is reeling under inflation woes.

While addressing a press conference, CREDAI President of Aurangabad, Nitin Bagadiya, told the media that the costs of raw construction materials had risen sharply in the last few days. Due to which the construction sector has to bear increased prices per project.

He added that the prices of construction materials, including cement, steel, aluminium, plumbing materials, labour transportation, among others, are increasing. The increasing cost will affect the builders and the homebuyers.

The construction sector is a leading industry in the country. The construction business is again under crisis due to the increasing costs of projects.

While the construction sector was facing a crisis due to demonetisation, Goods and Services Tax (GST) and the Covid-19 pandemic, the increasing prices of construction material have affected the whole budget, he said.

He said that the construction sector is the country's largest provider of Gross domestic product (GDP), the largest employer and a factor for economic development. However, homebuyers are facing a financial crisis for multiple reasons.

The Covid-19 lockdowns had affected the construction workers, along with several stalled projects. The rising price of fuel, cement and steel has a huge impact on the construction sector. The housing costs are likely to increase by Rs 500 per sq ft after Diwali, he said.

Akhil Khanna, CREDAI Secretary and Rajendra Jabinda, former state CREDAI President were also present during the press conference.

Image Source

Also read: Rising steel, cement prices to impact real estate

Infrastructure Transport

06 May 2026

Pune To Build Nine Km Link Road Between Highways

The Pune Municipal Corporation (PMC) has decided to appoint an expert to plan the development of a nine km long, 60 metre wide road from Khadi Machine chowk to Wadki chowk as an extension to the Katraj-Kondhwa road to link the Mumbai-Satara and Pune-Solapur national highways. The scheme is intended to divert heavy vehicle traffic away from the city and improve access between the two arterial routes. The project has been prioritised by the PMC and forms part of a larger set of schemes in which 19 roads have been identified for development at a combined cost of Rs 9.82 billion (bn) to address c..

Barabanki Bahraich Six Lane Highway Approved in Uttar Pradesh

The Uttar Pradesh government has approved construction of a new six-lane highway linking Barabanki and Bahraich as part of National Highway 927, and the cabinet has cleared the project. The alignment will pass through Mustafabad and Kaiserganj and extend for about 101.5 km, creating a key corridor for local and long-distance movement. The National Highways Authority of India will oversee the work and has signalled the scheme is intended to strengthen regional connectivity and cross-border access to Nepal. The project carries an estimated total cost of Rs 69,690 million, equivalent to Rs 69.69..

Toll At Kharegaon Likely As Highway Upgrade Nears Completion

A section of the highway at Kharegaon has undergone an upgrade and is approaching completion, and authorities have indicated plans for a toll to be introduced once works finish. The project has focused on strengthening the carriageway, improving drainage and upgrading intersections to enhance safety and capacity. Officials have said the toll will be used to recover construction costs and fund ongoing maintenance. The upgrade included resurfacing of the pavement, widening of certain stretches and installation of modern signage and lighting to reduce accident risk. Contractors completed most ma..