Interim Budget 2024: Real Estate Sector Expects Maximum Deduction For Home Loans

Here are the expectations of realty sector from Interim Budget 2024 New Delhi: The real estate industry has sought industry status for the housing sector and single window clearance for housing projects from Finance Ministry as the latter prepares to present the Interim Budget 2024 in February. "We must have reasonable expectations for the interim budget, which will be unveiled before the general elections," said Anuj Puri, Chairman – ANAROCK Group.

Here are the expectations of realty sector from Interim Budget 2024 Maximum deduction for home loans (u/s 24) It is necessary to increase the Section 24 of the Income Tax Act's INR 2 lakh tax rebate on home loan interest rates to at least Rs 5 lakh. Doing so could stimulate a more robust market for housing, particularly in the budget homes segment, which has seen a decline in demand since the pandemic.

Decisive boost for affordable housing Given how badly the epidemic affected this segment's target audience, affordable housing has been affected severely. ANAROCK Research finds that the previously much touted budget homes category saw a decline in overall sales to approximately 20% in 2023 from over 30% in 2022, and nearly 40% in the period before to the pandemic.

Modify the qualifying standards for affordable housing The government needs to take a hard look at adjusting the qualifying cost of properties within cities’ affordable housing segment. Although the units' defined size of 60 square metres is reasonable, the prices of up to Rs 45 lakh make them unaffordable to a huge share of the target clientele.

For example, a budget of.