National Housing Bank’s latest Residex housing price index indicates that Tier-II and Tier-III cities have noticed the highest rise in realty rates, which makes it a perfect time for price concerned buyers to invest in these smaller cities.
The Ministry of Housing and Urban Affairs has asked the National Housing Bank (NHB), HUDCO and public-sector banks to more proactively promote the Credit-Linked Subsidy Scheme (CLSS) of the Prime Minister Awaas Yojana (PMAY) (Urban) to meet the target of Housing For All by 2022.
The budget reaffirms continued focus on Infrastructure and programmes such as Smart City mission, AMRUT, NMCG, the Regional Connectivity Scheme (UDAAN) etc. as can be seen by increased outlay by 20% from the previous year. The key takeaway form this budget is the thrust on social and rural infrastructure including health, education, housing, agri-value chain and penetration of digital infrastructure.
At the opening of the 6th Asia-Pacific Housing Forum, Rajiv Ranjan Mishra, Joint Secretary, Ministry of Housing and Urban Poverty Alleviation, Government of India, and the forum keynote speaker, said, “While we have 21 lakh housing units in last two years for economically weaker sections, the target of 100 lakh houses by year 2022 under ‘Housing for All’ mission will need a rapid scaling up.
The National Housing Bank (NHB), together with the European Union (EU) and the French Development Agency (FDA) is working on the launch of Sustainable Use of Natural Resources and Energy Finance (SUNREF) housing in India. SUNREF housing will endow €112 million to NHB via a credit line of €100 million with FDA and a €12 million grant from the EU.
The focus of the Union Budget 2017 on making affordable housing an infrastructure status is a very positive move by the government in order to ensure housing for all. The scheme for profit linked income tax deduction for affordable housing is also very encouraging for both consumers and the real estate sector, as the demand for homes will rise.
As the National Housing Bank (NHB) rightly noted recently, in most of Indian cities prices of new homes are expected to come down. Nearly five lakh apartments are expected to be delivered by builders this year, say reports. So, if you have been waiting to buy a home, this could be the right time for some bargain hunting. As per the NHB Residential Housing Index Residex, 22 of the 26 cities in India have seen a decline in home prices between 1 per cent and 5 per cent in the April to June quarter.
The World Bank has recently signed a loan agreement with the government of India for $100 million for Low Income Housing Finance Project by National Housing Bank (NHB). The loan agreement was signed by Nilaya Mitash, Joint Secretary, Department of Economic Affairs, Ministry of Finance on behalf of the government and Michael Haney, Operations Advisor of World Bank (India) on behalf of the World Bank.