New affordable housing Policy will be finalized by the Government
The government has planned to frame new affordable housing policy to boost up the weakening real estate sector in India.
In an announcement by the Union Ministry of Housing and Urban Poverty Alleviation, it is confirmed that that the government is in the process of finalizing such a policy in two months.
The government is already trying to promote the housing scheme for all the residents in India. The first step was taken in the Budget, by allowing the external commercial borrowing (ECB) for low cost houses in India.
The builders have not shown any major interest in constructing the affordable housing segment because of the low margins.
According to sources the new policy will raise the floor space index to compensate developers for high cost of land and also ease density norms. It will give capital and interest subsidy to the developers. Even government land would be auctioned on the basis of which builders can build maximum number of low cost houses.
The ministry has also built an internal committee to fast track the process of granting approvals of housing projects in a bid to reduce costs by 25-40 percent.
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Affordable houses in Hyderabad will be constructed by Vasathi
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Source FirstPost
affordable housing policy, Affordable housing segment, ECB, external commercial borrowing, low cost houses in India, Real estate sector in India, residents in India
