States Asked to Evolve Affordable Housing Policies for Low Income Groups
Action taken in this regard and experiences of 10 states in promoting affordable housing stock will be discussed at a national workshop
Oct 26, 2015


The Centre would hold discussions with the state governments about measures being taken to promote affordable housing projects for the Economically Weaker Sections (EWS) and Low Income Groups (LIG).

According to an official release here, the Ministry of Housing and Urban Poverty Alleviation (HUPA) has asked the states to evolve affordable housing policies to comprehensively address issues affecting the creation of affordable housing stock by laying out an enabling environment for various stakeholders to participate in housing projects for EWS and LIG.

Action taken in this regard and experiences of 10 states in promoting affordable housing stock will be discussed at a national workshop - 'Model State Urban Housing and Habitat Policy: Decisive Roadmap for Achieving Housing for All' - on October 27 in New Delhi.

While the Telangana government has proposed to promote the Singapore model of rental housing, neighbouring Andhra Pradesh has proposed several initiatives to promote affordable housing for EWS and LIG segments.

The governments of Andhra Pradesh and Telangana which, at the workshop, will give an account of the initiatives being taken by them, have both proposed total waiver of stamp duty for affordable housing projects, the statement said.

In the Draft Affordable Housing Policy of Andhra Pradesh, presented to the Ministry of HUPA, the state government has also proposed waiver of land conversion fee, infrastructure development charges, building plan approval fee, registration fee and betterment charges to promote affordable housing for EWS and LIG besides relaxation in Floor Area Ratio (FAR).

Telangana government has also proposed similar measures. To encourage private investment in affordable housing, it has proposed twice the normal FAR besides 0.50 per cent additional FAR for timely completion of such projects, the statement said, adding that both states have proposed earmarking of 25 per cent of government land available with urban local bodies for housing for EWS and LIG segments.

The two states also envisaged single-window clearance for approving housing projects in 60 days, the statement added.

In its policy, Telangana has also proposed construction by state agencies of houses/flats on rental-cum-ownership basis on the lines of Singapore model by adopting new initiatives like 'equity building' and 'rent cum ownership' basis, especially for low income segments.

Under this model, a house/flat allotted to an EWS/LIG household will be transferred in the name of the individual after ensuring 100 per cent equity over a period of 10-15 years.

Such individuals will have the option to sell house/flat but only to the state government agency, which will then offer the same to EWS/LIG households in waiting list.

Private sector also will be encouraged to build rental housing stock with appropriate government support for the benefit of migrants.

Such initiatives and experiences of other states, the statement said, will be discussed for the benefit of all other states and stakeholders, besides the expectations of industry from affordable housing policies of states.

Under the Pradhan Mantri Awas (PMAY) scheme launched in June this year, about 2 crore houses are to be built in urban areas by 2022 in a bid to realise the goal of "Housing for All".

Of this, 96 per cent is meant for EWS and LIG households. The Centre has proposed to extend assistance in the range of Rs 1 lakh to Rs 2.30 lakh per each dwelling unit to be built under PMAY.

Latest Realty News

Oct 26, 2015
NASHIK: The Confederation of Real Estate Developers' Association of India (CREDAI) has decided to conduct business to business (B2B) meetings with real estate brokers in Nashik and Mumbai in a bid to boost real estate sector in Nashik, which has been passing through a phase of recession.
Oct 26, 2015
Bhubaneswar: Real estate developers in the state are pinning hopes on the state’s new housing policy combined with the recent Reserve Bank of India(RBI) decision to increase loan to value(LTV) ratio to revive the sluggish housing market in the festival season.
Oct 26, 2015
The iconic Lincoln House in Mumbai was recently bought by industrialist Cyrus Poonawalla for Rs 750 crore. The 50,000 sq. ft property had been leased to the US government by Pratabsinhji Jhala, the Maharaja of Wankaner, for a sum of Rs 18 lakh in 1957. In the past 58 years, its value has grown 4,000-times at an annual growth rate of 15.45%. Most people infer that the property has given astronomical returns. Has it?
Oct 24, 2015
BENGALURU | MUMBAI: Private equity and venture funds' appetite for India's real estate portals and related startups has not waned despite sales in the sector winding down, industry data shows. The segment has attracted nearly $250 million, or over Rs 1,600 crore, in investments in the last 18 months mainly from Helion Ventures, Nexus Venture Partners, SoftBank Group, Accel India, Horizen Ventures, Qualcomm Ventures and Nirvana Ventures.
Oct 24, 2015
CHANDIGARH: The Haryana government has reduced the minimum land requirement to build townships from 100 acres to 25 in its new integrated licencing policy (NILP), which it unveiled on Friday.
Oct 24, 2015
Mumbai: Indians invested nearly $2 billion in the Dubai's real estate during the first half of this year.
Oct 23, 2015
The Nagpur chapter of Confederation of Real Estate Developers Association of India [CREDAI] has organized the sixth edition of its four-day long property expo where over 4000 home aspirants thronged the expo at Rani Kothi, Civil Lines.
Oct 22, 2015
MUMBAI: Sanjay Grewal, IDFC's board member is joining Altico Capital, the nonbanking financial arm of Clearwater Capital. RK Narayan of Jones Lang Laalle is moving to head the $400 million real estate fund of Macquarie Group. There are more than half a dozen top-level hires in the last couple of months among real estate private equity funds.
Oct 22, 2015
SINGAPORE: Singapore sovereign wealth fund GIC has formed a 50-50 joint venture with Tishman Speyer to invest in the developer's office project in the southern Indian city of Hyderabad, the firms said in a joint statement.
Oct 22, 2015
New Delhi: Indiabulls Real Estate has received approval from a UK authority for the plan to redevelop its project in London.

Latest Realty News Of State

Realty Talk's