The Indian government has been making efforts to boost the affordable housing sector and promote real estate development in the country. These policies have had a significant impact on the Indian real estate market, making housing more accessible and affordable for a larger segment of the population.
One of the major initiatives taken by the government is the “Pradhan Mantri Awas Yojana” (PMAY). The scheme aims to provide affordable housing to economically weaker sections and low-income groups by 2022. The government provides a subsidy of up to 2.67 Lakhs to the beneficiaries under this scheme. The scheme has been successful in increasing the demand for affordable housing and has also led to the construction of a large number of affordable homes.
Another important policy that has had a positive impact on the real estate sector is the reduction of interest rates on home loans. This has made it easier for people to take home loans and has led to an increase in demand for housing. The government has also provided tax benefits for affordable housing, making it more attractive for developers to construct such homes.
The government has also implemented the “Real Estate Regulation and Development Act” (RERA) to protect the rights of home buyers, boost transparency and accountability in the real estate sector. This act has ensured that developers adhere to the rules and regulations, which has instilled confidence among buyers.
In addition, the Indian government has also announced infrastructure development plans such as the “Smart Cities Mission” and the “Atal Mission for Rejuvenation and Urban Transformation” (AMRUT) to improve the infrastructure of cities and towns. This has led to an increase in demand for housing and a rise in real estate prices in those areas.
In conclusion, the Indian government’s policies on affordable housing and real estate development have had a positive impact on the Indian real estate market. These policies have increased the demand for affordable housing, made housing more accessible and affordable for a larger segment of the population, and also improved transparency and accountability in the sector. The government’s infrastructure development plans have also had a positive impact on the real estate market.