Interest subvention scheme to be launched to make ‘’Housing for all’’ a reality
BJP’s election manifesto was loud and clear, ‘’Housing for all by 2022’’. In order to make this dream a reality, the government is planning a new interest subvention scheme to make the Home loans for the underprivileged more affordable. This subvention scheme will meet a part of the home loan burden.
The finance secretary G S Sandhu explained that the government would shortly announce the enhanced subvention for affordable home loans. He also mentioned that under the scheme, there would be interest subvention up to 5% for loans up to Rs 5 lakh. At present, the interest subvention is available on loans up to Rs 1 lakh.
Sandhu was addressing the gathering at a real estate summit organized by industry body NARDECO (National Real Estate Development Council) in Mumbai. Sandhu also mentioned that s blueprint on affordable housing plan is being prepared and the government is clear that its wants time-bound results. As of now most of the burden falls on public sector bank.
In future the REITs (real estate investment trusts) could be a game-changer for the sector. REITs were launched by the finance minister Arun Jaitley during the maiden budget presented by the new NDA government on July 10. SEBI has almost formulated a draft of the guidelines and soon REITs are expected to be listed in the stock market by various real estate companies and other financial bodies.
Source- The Times of India
BJP’s election manifesto, housing for all, Interest subvention scheme, NARDECO, National Real Estate Development Council, Real Estate Investment Trusts
