Home buyers have received significant hope, with a demand to increase the interest rebate on home loans from Rs 2 lakh to Rs 5 lakh.

NAREDCO, an umbrella body of real estate companies, has urged the central government to increase the home loan interest rebate limit in the upcoming budget. They demand that the current limit of ₹2 lakh be raised to ₹5 lakh, which would provide significant relief to homebuyers. This move will also boost the real estate sector and encourage more people to purchase homes.

Demand for increasing interest subvention and its potential impact

NAREDCO on Thursday urged the government to increase the interest deduction on home loans from the current ₹2 lakh to ₹5 lakh in the upcoming budget. This change could make home ownership easier for the common man, as it would provide them with greater tax benefits. The real estate sector believes this increase will boost homebuyers’ confidence and increase demand in the market.

Lobbying for industry status for real estate

The organization has also demanded industry status for the real estate sector. NAREDCO argues that real estate plays a vital role in the Indian economy and that industry status will provide the sector with better access to credit, investment, and government policy support. This will lead to systematic growth of the sector and increase employment opportunities.

New definition of affordable housing

NAREDCO has also advocated for a change in the definition of affordable housing. They demand that homes priced up to ₹90 lakh be considered affordable, compared to the current limit of ₹45 lakh. This change will allow more homes in metros and large cities to be classified as affordable, allowing more people to benefit from government schemes.

Emphasis on ensuring housing for all

NAREDCO Chairman Niranjan Hiranandani emphasized that the central government has taken several steps to support the real estate sector, but more needs to be done to promote affordable housing. He said, “We must ensure housing for all. Housing should be given the same importance as other infrastructure sectors.”