Recovering from the tumbles of demonetization, the next thing that the real estate industry looks forward to is Union Budget 2017-18. With lowering of interest rates and transparency brought in by RERA, this year started on a good note, especially for the affordable housing sector. 2017 is supposed to be the year of institutionalization and strengthening of the buyer-builder bond along with a focus on increased affordability.
The real estate industry expects a lot from the Union Budget that is to be announced by Finance Minister Arun Jaitley on 1st February.
Let’s talk about the wish-list of real estate sector-
Tax Incentives for First-Time Buyers
The government is pacing up to bring more affordable housing benefits for homebuyers. Developers are already coming up with more low-cost inventory. Affordable housing schemes like Swabhimaan have also been launched to allow mid-segment buyers to buy their dream home in prime cities.
Providing income tax incentives to first-time homebuyers over and above these benefits will encourage more people to buy houses. Such changes in the tax slabs are pretty much on the cards that will allow young working class to look upto real estate as an avenue for investment as well as end-use. Higher savings can be allowed with reduction in stamp duty charges and increasing the tax deduction limit for housing loans. [Read more…]