- By Aditya Pratap Singh
- Wed, 24 Jan 2024 03:15 PM (IST)
- Source:JND
Budget 2024: Union Finance Minister Nirmala Sitharaman will present the last budget of Modi 2.0 tenure on February 1. This will be the interim budget ahead of the 2024 general elections.
Ahead of the budget industry leaders of all major sectors including banking and finance, manufacturing, real estate and others are expressing their expectations. Meanwhile, industry leaders in the real-estate sector have expressed their expectations from the Budget 2024.
Highlighting his outlook for the residential real estate sector in the upcoming budget, Ramesh Ranganathan, CEO, K Raheja Corp Homes, said, "elevating the Real Estate sector to industry status is key. We anticipate impactful policies, fostering industry growth with tax incentives measures making it more lucrative for homebuyers. The holding period for residential properties as a long-term capital asset should be shortened to 12 months, aligning with market dynamics."
"In line with the government's ‘housing for all’ focus, boosting home purchases through elevated tax deductions both for developers and buyers is crucial, making home ownership more affordable and enticing," he added.
Manoj Gaur, Chairman of CRADAI NCR and CMD of Gaur Group, said "Real estate has always played an important role in the Indian economy. They are expecting strategic fiscal measures from this budget to stimulate demand for home buyers and developers, address liquidity concerns and simplify regulations. There are many expectations from this budget which will strengthen the Indian real estate sector."
"If the tax exemption on home loans is increased from Rs 2 lakh to Rs 5 lakh, then the real estate sector will gain further momentum, our biggest hope is that the government would consider real estate as an industry," he said further. Manoj Gaur also demanded that the government announce something to provide affordable houses to the people.
Also read: Budget 2024: All About Challenges Faced By Agrarian Sector and Farmers’ Demand To Govt
Nayan Raheja of Raheja Developers, also Exacerbated the demand for Industry-status to real-estate sector. "There has been a demand for 'industry status' in the real estate sector for a long time and it is one of the big expectations from the Budget 2024. if the government think towards single window clearance, it will be a big help for the sector as well".
He said, that "Single Window would save time for developers that they can be utilized for building the project and delivering it to the buyers on time".
County Group Director Amit Modi expressed his demand for tax exemption for home buyers in the upcoming budget. "It is necessary to increase the tax exemption of Rs 2 lakh on home loan interest rates to at least Rs 5 lakh. Doing so could lead to a more robust market for housing, especially in the budget home segment, which has seen a decline in demand since Covid".
Omex Group MD Mohit Goyal demanded 'Industry Status' for the real-estate sector. "Real estate should be given industry status, which is One of the primary expectations from 'Budget 24'," demanded Mohit Goyal. "The construction industry is a significant employer, a large proportion of employees are unskilled and casual labourers, so providing industry status would accelerate growth," he said further.
Yash Miglani, Managing Director of Migson Group, said, "Covid has hit affordable housing hard. Developers need to take important steps like tax incentives to create more affordable housing and encourage them. This will not only give strength to the developers but will also benefit the home buyers."
Rajat Goyal, Managing Director of MRG Group, urged the government to increase the exemption limit. "It is expected that like last year, there will be a boom in the real estate sector in 2024 as well. No doubt increasing the exemption limit on home loan interest will increase the number of affordable home buyers. Tax exemption will be a good step for home buyers as well as the real estate sector".
Abhishek Raj, Founder & CEO of Jenika Ventures urged the government to recognise the real estate sector as a key investment channel. "For the upcoming 2024 budget, we expect the government to adopt a forward-thinking approach by recognizing the real estate sector as a key investment channel. Considering its potential to act as a catalyst for economic growth, the government understands that comprehensive rules are necessary to increase the desirability of this investment option."
"They are aware that a well-regulated real estate market safeguards investments and serves as a stimulant by motivating individuals to participate in this important sector. Additionally, the budgetary goal continues to offer specific support for both home buyers and investors. The government works to foster an environment that supports the expansion of the real estate sector by offering appropriate tax benefits. The budget also aims to reduce interest rates to boost economic activity," he added.
"The dedication to affordability is shown by lowering interest rates, which enables financing for both individuals and enterprises. This proactive aligns seamlessly with the government's broader objective of supporting an established real estate industry, where prudent investments, legal protections, and financial incentives all work together to create a resilient and dynamic economy," said Abhishek Raj.
