+
The inroads of Affordable Housing in India
Real Estate

The inroads of Affordable Housing in India

Since the launch of the Pradhan Mantri Awas Yojana (PMAY) in 2015, housing in India’sleading eight cities has become considerably more affordable, according to Knight Frank India’s proprietary Affordability Index, which tracks the EMI (equated monthly instalment) to income ratio for an average household.

For example, Mumbai’s home purchase affordability index dropped from 97 per cent in 2014 to 57 per cent in Q3 2022 despite the city continuously holding the title of being the most expensive residential market in the country. After Mumbai, NCR and Bengaluru have seen the most improvement in the affordability of residential property. Ahmedabad, Pune, Kolkataand Chennai, in that order, was the most affordable housing markets in the country, based on this year’s assessment, according to Knight Frank India.

What’s behind this encouraging change?
“Both demand and supply of affordable housing have been addressed,” opines Pradeep Aggarwal, Chairman, Signature Global. Signature Global has a presence in core affordable housing or low-cost housing (units with a carpet area of about 750 sq ft, valued between Rs 20 lakh and Rs 30 lakh) as well as in entry-level mid-segment housing (units contained on a single floor in low-rise row houses in plotted colonies, with a super area of about 1,200 sq ft valued between Rs 40 lakh and Rs 80 lakh).

While demand-side measures boost the offtake of affordable housing, supply-side measures boost their development and availability.

Among the most potent demand-side measures that have been taken, Yashwin Bangera, Senior Vice President, Research, Knight Frank India, identifies a credit-linked subsidy scheme for easy and cheaper institutional credit to EWS, LIG and MIG households for the purchase of homes.

To read the full story, CLICK HERE.

Since the launch of the Pradhan Mantri Awas Yojana (PMAY) in 2015, housing in India’sleading eight cities has become considerably more affordable, according to Knight Frank India’s proprietary Affordability Index, which tracks the EMI (equated monthly instalment) to income ratio for an average household. For example, Mumbai’s home purchase affordability index dropped from 97 per cent in 2014 to 57 per cent in Q3 2022 despite the city continuously holding the title of being the most expensive residential market in the country. After Mumbai, NCR and Bengaluru have seen the most improvement in the affordability of residential property. Ahmedabad, Pune, Kolkataand Chennai, in that order, was the most affordable housing markets in the country, based on this year’s assessment, according to Knight Frank India. What’s behind this encouraging change? “Both demand and supply of affordable housing have been addressed,” opines Pradeep Aggarwal, Chairman, Signature Global. Signature Global has a presence in core affordable housing or low-cost housing (units with a carpet area of about 750 sq ft, valued between Rs 20 lakh and Rs 30 lakh) as well as in entry-level mid-segment housing (units contained on a single floor in low-rise row houses in plotted colonies, with a super area of about 1,200 sq ft valued between Rs 40 lakh and Rs 80 lakh). While demand-side measures boost the offtake of affordable housing, supply-side measures boost their development and availability. Among the most potent demand-side measures that have been taken, Yashwin Bangera, Senior Vice President, Research, Knight Frank India, identifies a credit-linked subsidy scheme for easy and cheaper institutional credit to EWS, LIG and MIG households for the purchase of homes.To read the full story, CLICK HERE.

Next Story
Real Estate

MoHUA Sanctions 1.47 Lakh Additional Houses Under PMAY-U 2.0

In a major push towards the Government’s Housing for All mission, the Ministry of Housing and Urban Affairs (MoHUA) has approved 1,46,582 additional pucca houses under Pradhan Mantri Awas Yojana – Urban 2.0 (PMAY-U 2.0) for 14 States/UTs, bringing total sanctions under the revamped scheme to 8.56 lakh.The decision came during the fourth meeting of the Central Sanctioning and Monitoring Committee (CSMC), chaired by Srinivas Katikithala, Secretary, MoHUA, at the Ministry’s Kasturba Gandhi Marg office. Senior officials, State Principal Secretaries, and PMAY-U Mission Directors participated ..

Next Story
Real Estate

Piyush Goyal Inaugurates Expanded ISA Building at Intellectual Property Office

Union Minister of Commerce and Industry, Piyush Goyal, today inaugurated the newly expanded International Searching Authority (ISA) building at the Intellectual Property Office (IPO) in Dwarka, New Delhi, marking a major step forward in India’s intellectual property ecosystem.Addressing the gathering, Goyal highlighted that innovation has been central to India’s heritage for centuries, citing the engineering brilliance of the Konark Temple as a historic example. He emphasised that innovation is not just intellectual property but a symbol of sovereignty, and a key driver in India’s journe..

Next Story
Real Estate

SIEGER Boosts Automation in Mumbai Realty

SIEGER, a leading automation solutions provider, is expanding its advanced manufacturing capabilities to meet the surging demand for precision, high-speed automation in Mumbai’s rapidly growing real estate sector.Operating from a 21,000 m² advanced production hub in Coimbatore—part of a 40,000 m² integrated campus—SIEGER offers complete solutions from design and prototyping to manufacturing and deployment. The fully digitalised facility features CNC machining, QR-coded component tracking, conveyorized powder coating, and a Government of India–certified R&D centre, ensuring unmatc..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?