The real estate sector has given a mixed reaction to the Union Budget presented by Finance Minister Nirmala Sitharaman. While the ₹10 lakh crore allocation under the PM Awas Yojana-Urban for affordable housing is praised, some developers feel that more incentives are needed for the luxury segment and infrastructure development. The sector appreciates the focus on urban development but believes additional measures are necessary to achieve balanced growth across all segments.
Pradeep Aggarwal, Founder & Chairman, Signature Global (India) Ltd said, “This is a holistic budget in each aspect, the government’s decision to allocate ₹10 lakh crore under the PMAY Urban Scheme, targeting 3 crore houses and key focus on rationalising stamp duty for Home buyers especially for women, underscores a robust vision for urban development and will help homebuyers would save the significant amounts, making home ownership more accessible. At macro level sustained infrastructure impetus, reflected in the ₹11.11 lakh crore Capex allocation, we anticipate all these would create a multiplier impact and significant boost in the overall housing sector.”
Manoj Gaur, Chairman, CREDAI National and CMD Gaurs Group- The biggest announcement concerning the real estate sector is the provision of Rs 10 lakh crore investment in urban housing for the poor. This will be a milestone for affordable housing in the country, meeting the needs of 1 crore urban poor and middle-class families. Despite high demand, progress in this segment has been slow due to a lack of budgetary support. This funding is expected to lead to the rise of many new projects in the affordable housing segment. The provision for rental housing for industrial workers through a PPP model is also commendable. Additionally, the focus on transit-oriented development for urban centres with populations of 30 lakh and above will boost urban infrastructure. With an expected 30-40% increase in people moving into urban areas, this budget demonstrates a long-term vision. Overall, this budget is a significant boost for the real estate sector.
Mohit Goel, Managing Director of Omaxe Ltd- Budget 2024 stands out for its people-centric vision and powerfully advancing affordable housing in urban areas with a landmark allocation of Rs. 10 lakh crore under the PM Awas Yojana-Urban 2.0. As it targets to meet the housing needs of 1 crore poor and middle-class families, it is expected to boost affordable housing segment and create millions of jobs in the process.
The allocation of Rs. 11.11 lakh crore for infrastructural development, along with the innovative PPP model for rental housing in urban centers and the strategic push for transit-oriented development showcases a forward-thinking approach. These initiatives will undeniably propel real estate development in the right direction. Moreover, the reduction in stamp duty for women buyers will help build an inclusive real estate market.
In essence, the budget represents a strategic economic boost, ensuring India’s macro growth remains resilient amid global uncertainties. By prioritizing key sectors such as skilling, urban development, and infrastructure, this budget injects crucial energy and momentum into the economy.
Ashwinder R. Singh, Co-Chair of CII’s NR Committee on Real Estate, CEO Residential at Bhartiya Urban- The Union Budget 2024 lays a robust foundation for India’s economic growth. The substantial allocations for infrastructure and urban housing, along with financial reforms such as increased home loan deductions and enhanced Mudra loans, will significantly boost the real estate sector. The focus on rural development and special financial support for states like Bihar and Andhra Pradesh will drive inclusive growth. These measures are poised to create a more favorable environment for real estate investments, ultimately contributing to India’s journey towards becoming a $5 trillion economy.
Sandeep Chhillar, Founder & Chairman, Landmark Group – The Finance Minister stated the government’s commitment to maintaining significant financial support for infrastructure development. This year’s capital expenditure allocation of Rs 11.11 lakh crore, amounting to 3.4% of India’s GDP, highlights this dedication. An allocation of Rs. 2 lakh crore for job creation over the next five years is expected to stimulate demand, thereby accelerating growth in the sector. The presentation of the Union Budget for FY25 also highlighted the government’s focus on enhancing affordable housing, aiming to address concerns in this sector through a substantial investment of Rs 10 crore in urban housing, increasing housing supply and affordability, thereby positively impacting the real estate market’s dynamics.
Deepak Kapoor, Director, Gulshan Group- The spending on infrastructure, while on the one hand, increasing prosperity, will also boost economic prospects, encouraging both the housing and commercial realty segments. An allocation of Rs 10 lakh crore in allocation for urban housing will enable affordable housing development. Other than that, Rs 2 lakh crore earmarked for job creation over the next five years will create demand, which in turn will boost real estate development.
Amit Modi, Director County Group- The budgetary push to construct three crore additional houses under PMAY, for which necessary allocations are being made, is a measure that will boost holistic growth and development. At the same time, the announcement to provide a Rs 2.2 lakh crore booster to affordable homes in urban areas will help lower and mid-income groups to realise their housing dreams. Besides, unlike the previous budgets, which had a significant rural push, the announcement to provide rental housing with dorm-like accommodation for migrant industrial workers under the PPP model is a game-changing initiative that will fill the much-needed gap and foster inclusive growth. The budget also nudges state governments to reduce stamp duty, which will bring relief to lakhs of homebuyers. On the whole, the budget encourages all-round growth, and the real estate sector, both residential and commercial segments, will benefit from these moves.
Yash Miglani, MD, Migsun Group- This determined investment by the Govt proves a strong promise to urban development and social equity. By focusing on the housing needs of the urban poor and middle-class families, govt is ensuring inclusive growth and enhancing the quality of life.
Uddhav Poddar, MD, Bhumika Group- The emphasis on infrastructural development by allocating Rs. 11.1 lakh crores along with employment generation and skill development will boost real estate development and provide a fillip to the commercial segment. The promulgation of the PPP model for rental housing in urban centres, along with transit-oriented development (TOD,) will also promote real estate development.
Ankush Kaul, chief business officer – Ambience Group- While the allocation of Rs 10 crore to urban housing will address the urgent need for affordable housing in cities, the outlay of Rs 11.1 lakh crore on infrastructural development will boost commercial and residential real estate. Even though there has been no direct announcement affecting the real estate sector, the budget’s emphasis on growth will boost the sector’s growth.
Nayan Raheja, Raheja Developers- The Union Budget 2024 has unveiled a strong commitment with Finance Minister Nirmala Sitharaman, particularly emphasizing urban housing, infrastructural development, skilling the youth, and creating job opportunities. With the announcement of Rs 10 lakh crore investment in urban housing, the budget has set the right priorities, encouraging affordable housing. Moreover, the government has also suggested reducing the stamp duty to benefit buyers by lowering registry costs. Hence, the budget encourages the commercial and residential real estate sector to benefit from this move.
Saurav Sharma, Sales Director, Trisol RED- The ₹10 lakh crore investment in urban housing is a strategic move that will have far-reaching impacts. By addressing the housing needs of 1 crore urban poor and middle-class families, the government is not only improving living standards but also driving economic growth through job creation and increased demand in the construction sector.
Harsh Gupta, CEO, Sundream Group- The Union Budget 2024 lays a robust foundation for India’s economic growth. Substantial allocations for infrastructure and urban development. Along with financial reforms, it will significantly boost the office space sector. Focus on rural development and financial support for states like Bihar and Andhra Pradesh will drive inclusive growth. With Rs 10 lakh crore investment in urban infrastructure, the budget prioritizes creating modern commercial spaces. This determined investment underscores the government’s commitment to urban development and business growth, fostering a more conducive environment for office space investments and enhancing economic activity.
Prateek Mittal, ED, Sushma Group- The union budget’s emphasis on infrastructural development in tier 2 cities and employment generation are noteworthy steps. These steps will provide a fillip to real estate development. Affordable housing, which has been an area of concern will get a boost through the 10 crore investment in urban housing.”.
Mukul Bansal, MD, Motiaz- We welcome the Union Budget 2024, particularly the emphasis on infrastructure development, urban planning, and the promotion of affordable housing. These initiatives will catalyze growth in the real estate sector, bringing transformative changes and new opportunities for developers and homebuyers alike.”.
Tejpreet Singh, MD, Gillco Group- The announcement of 10 lakh crore for the PM Awas Yojana-Urban to satisfy the housing requirements of one crore poor and middle-class families is a game-changing move. This huge investment will not only provide affordable housing, but will also stimulate economic growth by providing jobs and bolstering the construction industry. It’s a vital moment for the real estate business, and we are delighted to contribute to this nation-building effort.”
Rajjath Goel, Managing Director, MRG Group- The Union Budget has made an unequivocal statement about its commitment to sustainable urban development, with a sharp increase in finances for projects aimed at improving connectivity and the quality of life in cities. There is a robust framework brought out in the new budget for integrating renewable sources of energy into housing projects in urban areas towards modernizing cities and accommodating the growing urban population effectively.”
Ankit Kansal, MD Axon Developers- Once again, the budget has not so far shared any specific policy for Indian real estate, which is a little disheartening. However, the silver lining is concentrated policy framework to work towards the fundamentals of macro economy, thrust to infrastructure development, and improve the employment outlook in the country. The budget has announced a slew of concrete step towards start-ups development, women upliftment, energy security, urban growth, MSME funding, etc. Likewise, it will take concrete steps to boost infrastructure in states such as Bihar and AP alongside overall rural infrastructure. Such steps in tandem can significantly boost the overall real estate demand in India.
Neeraj Sharma, MD, Escon Infra Realtor- We welcome the Union Budget 2024, which particularly emphasizes infrastructure development, urban housing, and youth skilling. The government’s focus on job creation and boosting consumption is positive for the real estate sector. Besides, it is also nudging state governments to reduce stamp duty. The 10 crore investment in urban housing it will not only provide a fillip to the real estate sector but also increase the housing supply and affordability.
Ashwani Kumar, Pyramid Infratech- The major announcement in this Union Budget 2024 is the allocation of Rs. 10 lakh crore to the urban housing segment. This step will promote affordable housing, meeting the needs of middle-class homebuyers. Besides, the suggestion to reduce stamp duty by the state governments is a very positive step. This will benefit millions of flat owners by reducing their registry costs. On the other hand, Rs. 11.1 lakh crore expenditure on infrastructure development will boost both commercial and residential real estate.
Nandni Garg, Director, Rajdarbar Ventures– The Union Budget 2024’s PM Awas Yojana Urban 2.0, with its ₹10 lakh crore investment and central assistance, is a commendable step towards addressing urban housing needs. The focus on affordable loans, transparent rental markets, and reduced stamp duties, especially for women, reflects a progressive vision for sustainable urban development.
Gurpal Singh Chawla, Managing Director, TREVOC– The budget embodies a powerful vision for India’s future growth, and we are thrilled to see the government’s strategic focus on infrastructure development, job creation, youth skilling, MSME support, and urban housing. The government’s proposal to reduce stamp duty is a game-changer, offering significant relief to millions of buyers by reducing registration costs. This important move will undoubtedly fuel demand and invigorate the sector, sparking a new wave of growth. Furthermore, the emphasis on Transit-Oriented Development (TOD) and the establishment of industrial parks demonstrates a forward-thinking approach towards comprehensive development. These initiatives are set to transform the real estate landscape, delivering substantial benefits to both residential and commercial segments.
Kushagr Ansal, Director Ansal Housing- Finance Minister Nirmala Sitharaman’s announcement to invest ₹10 lakh crore to address the housing needs of 1 crore urban poor and middle-class families is a game-changer. This substantial investment will not only provide affordable housing but also rejuvenate the real estate sector, promoting sustainable urban development.
Prasoon Chauhan, Founder & CEO, Aurika Homes- A key highlight of the Union Budget 2024 is the allocation of ₹10 lakh crore to urban housing, which will significantly advance affordable housing and address the needs of middle-class homebuyers. Additionally, the recommendation for state governments to reduce stamp duty is commendable, providing substantial relief to millions of buyers by lowering registry costs. Meanwhile, the ₹11.1 lakh crore earmarked for infrastructure development is set to enhance both commercial and residential real estate sectors.
