Even as the Interim Budget 2023 is set to be introduced in Parliament on February 1, there are expectations from various sectors for the budget announcements. The real estate sector expects increased budget allocation for infrastructure, focus on promoting affordable housing, introducing tax rebates, and granting industry status to the sector.
Vidush Arya, head (strategy) at Orris Infrastructure, said, “We anticipate favourable norms aimed at lowering interest rates and introducing tax rebates, encouraging sustained development and investment. Additionally, we hope for increased budget allocation towards new infrastructural developments.”
He added that this dual strategic focus aligns with the positive momentum already witnessed, further elevating the quality of life for the home buyers and investors.
Ashwinder R Singh, CEO (residential) of Bhartiya Urban, said, “2023 was a benchmark year for the realty sector, and 2024 will be even better. The real estate sector has high hopes for the forthcoming budget. Among the foremost is conferring industry status upon the real estate sector. Besides, we would also like the inclusion of crucial measures such as single-window clearance, tax breaks, and GST rationalisation.”
Prateek Mittal, ED of Sushma Group, said the forthcoming Budget will include income tax benefits for the real estate sector, with high hopes and expectations for the return of the CLSS scheme.
“Anticipating a stronger real estate market, we foresee fiscal support that recognizes the industry’s critical role in economic recovery. Affordable housing remains the focal point for inclusive growth, and we eagerly await government initiatives that promote and incentivise such projects. By addressing diverse housing needs, these initiatives are expected to transform the real estate landscape, contributing significantly to the nation’s social and economic fabric,” Mittal said.
Mohit Goel, MD of Omaxe Group, said one of the primary expectations from Budget 2024 by the real estate sector is the grant of industry status. “RERA is being implemented across the sector quite sincerely, and the developers are becoming more vigilant and responsible. Hence, the status of the industry would help in availing better financing.”
Pradeep Aggarwal, founder and chairman of Signature Global (India), said, “Acknowledging the pivotal role real estate plays in the nation’s economic growth, our foremost expectation is the long-overdue grant of Industry status to the real estate sector. This recognition will not only catalyse investments but also streamline regulations, fostering a more conducive environment for sustainable development.”
He said the government is also expected to extend the benefits of infrastructure status to the affordable housing segment, a move that will significantly boost the sector’s affordability and accessibility, aligning with the nation’s vision of ‘Housing for All’.
Gaurav K Singh, founder & chairman of Womeki Group, said, “The real estate industry is optimistic as we eagerly await the release of the 2024-25 budget. We have high hopes for regulations that support housing, promote sustainable growth, and create a favorable atmosphere for real estate investors. To empower first-time homebuyers, we support lowering long-term capital gains taxes, lowering income taxes on second houses, and making a strong argument for interest subsidies.”
Aditya Kushwaha, CEO and director Axis Ecorp, said, “India’s housing market showed impressive growth in 2023, overcoming challenges like rising property prices and the highest interest rates in six years. Despite these obstacles, the demand for real estate, particularly in the luxury and second home categories, remained robust. We anticipate that the 2024 Budget will favour homebuyers, supporting the sector’s ongoing growth. The recent focus on affordable housing is expected to continue even in the coming fiscal year.”
Amrita Gupta, director of Manglam Group and founder president of CREDAI Rajasthan Women’s Wing, said, “The real estate sector expects substantial changes, particularly in the domain of boosting consumer sentiment. Raising the maximum deduction for home loans under Section 24 of the Income Tax Act from Rs 2 lakh to at least Rs 5 lakh is crucial. This adjustment has the potential to reinvigorate the housing market.”
