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How Modi Government Can Boost India's Real Estate Sector in the Union Budget
The Modi government's real estate investment strategy is set to benefit greatly from the upcoming union budget. The right policies and incentives could make the industry a force to be reckoned with, contributing to job creation and growth. The government can give guidance on supporting this crucial sector. Continue reading this spot news at Landkhoj.com
Increase Affordable Housing Push–
• Boost the funding of the Pradhan Mantri Awas Yojana (PMAY).
• Boost tax revenue for affordable housing developers.
• Introduce new measures to encourage the private sector.
Rationalise GST Rates–
• Properties that are not yet under construction, lower the gst rate.
• Developers can use input tax credits.
• Add stamp duty to gst for uniformity.
Boost Rental Housing–
• Implement the draft tenancy act on a national level.
• Give tax benefits to renters.
• Establish a legal framework for build to rent schemes.
Enhance Liquidity for Developers–
• Create a distinct real estate fund to back down on stalled ventures.
• Standardisation of lending guidelines for real estate loans by banks and NBFCs.
• Introducing new real estate financing.
Incentivize Green Buildings–
• Tax benefits to developers of certified green buildings
• Grant subsidies for sustainable building materials.
• Establish a standard green building code.
Streamline Approval Processes–
• Use a system for a single window for all states.
• Land records and property registration procedures digitform.
• Limit the time for different approvals to minimise delays.
Encourage Foreign Investment–
• Streamline FDI regulations in real estate domains.
• Grant foreign investors tax breaks for certain projects.
• Establish dedicated economic zones that prioritise real estate development.
Support Infrastructure Development–
• Boost city development funding.
• Boost connectivity in tier-2 and tier-3 urban areas.
• Smart city initiatives to boost property demand.
Reform Land Acquisition Laws–
• Make land acquisition easier for big projects.
• Pay landowners fair compensation.
• Establish land banks for future development.
Boost Home Buyer Confidence–
• Raise the tax deduction threshold for home loan payments.
• Offer extra benefits for first time home buyers.
• Rera to be more consumer friendly.
The Modi government can transform India's real estate industry into a robust, transparent, and growth oriented industry by implementing these measures. It would be a huge boost to the economy of the country, not just developers and homebuyers. The sector's multiplicity and employment benefits make it a potential catalyst for India's ambitious economic goals, as it could enhance the real estate sector's contribution to the country's progress.
The upcoming budget is a crucial step towards resolving long-standing issues and paving the way for a real estate boom in india. Industry is anticipating positive policy changes that could unlock the sector's true potential and promote sustainable growth for years to come.
