Government of India is determined to promote the affordable housing segment as members of builders’ body the Confederation of Real Estate Developers’ Association of India (CREDAI) has announced the launch of 375 affordable housing projects across the country with an investment commitment of Rs 70,000 crore.
With the affordable housing segment getting infrastructure status, developers are working overtime to tweak existing projects and convert them into affordable housing projects.
Rajesh Krishnan, founder and CEO, Brick Eagle Group, which is managing affordable housing projects on over 1,000 acres across Maharashtra, Tamil Nadu, Gujarat, Rajasthan and Karnataka, said that they fully support the Government’s coveted goal of ‘Housing for All’ by 2022. “Affordable housing has shifted the developers’ focus from luxury projects. Low-cost housing projects have faster sales velocity since the demand is high. This helps in better cash management. Hence, we are witnessing an increasing interest from even frontline developers who stayed away from this segment due to perceived low margins.”
Supported by 20 housing finance companies, Xrbia Developers has also launched the ‘No-Income Proof Home Loan Scheme’, which enables applicants to apply for finance without submitting income proof documents and is ideal for those who are employed at informal sector.
Private enterprises are making their way by utilising the governmental policies offering an array of options by moving towards achieving the goal of making India the world’s third largest economy by 2030 which has the potential to benefit consumers as well as investment and business groups to have opportunities to create an enabling environment in the sector.