Budget 2021-22, What It Has For Housing Sector?
Budget 2021-22 was presented by the Finance Minister on Monday, while many claim it’s an end on tax terrorism, lets look at what it has for the housing sector.
By Varun Singh
Budget for the financial year 2021-22 was presented by finance minister Nirmala Sitharaman on Monday morning.
The first budget after the pandemic had many hopes for the real estate industry.
FM N Sitharaman in her budget mentioned extensively about affordable and rental housing schemes.
The biggest announcement for affordable housing projects was the tax holiday extended for one more year.
With the tax exemption on the affordale housing projects, the homebuyers are set to gain as prices are expected to remain stable.
The other major announcment, this one for homebuyers is Rs 1.5 Lakh additional deduction on interest on loan for affordable homes extended for one more year.
This will keep the spending capacity of the homebuyer intact.
“The government’s decision to extend tax holiday for affordable housing projects by another year is a step in the right direction.”Kaushal Agarwal, Chairman, The Guardians Real Estate Advisory
In her budget speech, the FM even announced tax exemption to notified rental housing projects.
Rental housing projects are meant to take care of the migrant workfroce.
During the Coronavirus led pandemic, many of the labourers abandoned the cities and moved to their native, one of the prime reason was non-affordable renting homes.
Rental housing is expected to find solution to the issue of reverse migration. .
Also Read: January Sold These Many Less Homes Than Dec