Support Required From Banks And HFCs For Affordable Housing Development

CREDAI (Confederation of Real Estate Developers’ Associations of India) – a realtors’ body, has said that the banks and housing finance companies need to help the developers of affordable and budget house projects. This support should be provided as the scope of margin is very low in this area of development.

Recently, the affordable housing segment was given the infrastructure status in the budget which has increased the interest level. This increased support indicates that this sector will require more support from banks and finance companies to make the concept of “housing for all” by 2022 a successful.

The property consultant of CBRE has released a white-paper giving a positive perspective on the future of real estate sector. According to him, demonetization, which came abruptly, had a short-term effect on the real estate sector. Demonetization made sure that the realty sector should work towards transparency and developing reforms.

The white paper also made clear that the sector is expected to get the inflow of cash through methodical sources of capital. Institutional capital might also get introduced in the real estate sector in the longer term.

If the affordable housing segment is able to get certain facilities which help them in funding constructions, this segment will prove to be a very significant step towards the betterment of homebuyers.