Streamlining affordable housing development would be a key reviving factor in realty

The target ‘Housing for All’ is on the mind of the government and in fact the developers have also taken it upon themselves to come up with affordable houses. The plan is to build around 1.2 crore houses by 2022 and cater to the segment where the demand is maximum. To fulfill this dream the sector was demanding infrastructure status and the status came for affordable housing.

The government did come out with many sops for affordable housing such as 80IB, the credit-linked subsidy scheme, etc, but there are so many other challenges. First and foremost challenge is the availability of land where the government has to release land parcels for the purpose. The authorities have to come out with this land within municipal limits and peripheral areas. Another area is the relaxation of FAR and density norms, which is very critical in meeting the demand for this particular sector.

A review of the master plan should be done by the government in order to come out with maximum land for affordable housing. And focus should also be on the development of infrastructure by providing connectivity and other social infrastructure in the areas where the government plans to come up with affordable housing. Approval process should also be streamlined and a fast-track process has to be put in place. Time is money and for affordable housing delays cannot be afforded as that would mean increasing cost. Most importantly, the policies at the state and central level has to aligned and synchronized that will help in removing ambiguities around availing central incentives. Above all, there is a need to strengthen micro-finance and improve the environment for the lower income groups to have access to housing micro-finance, which will gives them the opportunity to develop credit history and assist them in loan approval processes.

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