Budget 2024: Reactions From Prominent Players In The Real Estate Sector

The country's answer to its urban housing issue has advanced significantly with the introduction of the PM AWAS Yojana Urban 2.0, which would see investment in urban housing reach Rs 10 lakh crore. India's real estate industry is therefore given a boost by the FM's announcement of a Rs 10 lakh crore investment in urban housing under the PM AWAS Yojana Urban 2.0. This massive injection of central support (Rs 2.2 lakh crore) has the potential to revitalise the affordable housing market, which has been struggling for the previous few years. As the recent budget announcement has been unveiled. To contribute to your coverage of this critical topic, we'd like to share with you the reactions from prominent players in the Real estate sector.

LC Mittal, Director, Motia Group

Bringing investment in urban housing to ₹10 lakh crore under PM AWAS Yojana Urban 2.0 is a quantum jump seen in the nation's response towards its urban housing crisis. A commitment of this magnitude for one crore families exhibits that the Centre is serious about making urban development inclusive. The contribution by Centre, which will be ₹2.2 lakh crore over a period of five years, gives financial muscle to the scheme. This huge investment is most likely to have far-reaching effects beyond the simple provision of housing. It could stimulate the construction sector, create millions of jobs, and boost allied industries. What's more, along with mixing poor and middle-class families, the scheme recognizes the variety of housing needs across the socio-economic spectrum in urban India. Such an approach could usefully contribute to the reduction of inequality within cities and improve living conditions within India's fast-growing towns.

Aman Gupta, director of RPS Group

Ambitious targets for meeting the housing needs of 1 crore urban families under PM AWAS Yojana Urban 2.0 point toward the enormity of the challenge that is urban housing in India. With projected urbanization to reach 50 percent in 2050, this ₹10-lakh-crore investment had been most timely and sorely required. The ₹2.2 lakh crore central assistance is a very strong model of public-private partnership, in which government support will act as a catalyst for private investment. This could result in innovative financing models and construction technologies in the affordable housing sector. Moreover, unlike most housing policies that leave out this 'missing middle,' the scheme targets both poor and middle-class families. If implemented correctly, this can potentially reduce a huge urban housing shortage of 18.78 million units in the year 2012 and change the urban landscape of India. It is a game-changing announcement that the FM made by stating an investment of ₹10 lakh crore in urban housing under PM AWAS Yojana Urban 2.0 for India's real estate sector.

Anurag Goel, Director at Goel Ganga Developments

The FM's announcement of ₹10 lakh crore investment in urban housing under PM AWAS Yojana Urban 2.0 is thus a shot in the arm for India's real estate sector. This huge infusion-₹2.2 lakh crore in central assistance-can indeed rejuvenate the affordable segment of housing, which has remained in a challenging position over the past few years. For the target of 1 crore families within five years, it translates to about 20 lakh houses per annum, which becomes a significant scaling-up from the current version of the scheme. It can also generate enhanced demand for construction materials and may revive sectors such as cement, steel, and home appliances. It is in this regard that additional focus on the middle-class families, apart from the urban poor, broadens the scheme's scope and possibly leads to more diversified housing typologies and urban design solutions. This kind of holistic approach can play a huge role in realizing the government's vision of 'Housing for All'.

Siddharth Maurya, Founder & Managing Director, Vibhavangal Anukulakara private limited

The outlay of ₹10 lakh crore for urban housing under PM AWAS Yojana Urban 2.0 is of an amount that would largely share in the annual GDP of India, thus showing the priority in the housing sector by the government. The ₹2.2 lakh crore central assistance spread over five years offers a stable funding base, which is so important to long-term planning in the real estate sector. Targeting 1 crore families, this scheme addresses roughly 22% of India's urban households, according to the 2011 census. The scale of intervention would be large enough to hopefully bring down urban poverty, for adequate housing has been inextricably interwoven with health, education, and economic outcomes. Besides, incorporating middle-class families at least gives due recognition to the budding aspirations of India's urban population. If effectively implemented, this has the potential to go a long way in bridging the yawning urban housing gap and making critically vital contributions toward India's economic growth and development across the urban landscape.