Affordable housing is that section that can be afforded by the people who have lower income. Affordable housing is fulfilling the dream of everyone of owning a home. The basic need of shelter is made possible for the buyer by the affordable range of residential projects. These homes are small in area but sufficient for a family to survive and live comfortably. This segment is made as majority of people weren’t able to buy a home as the income of the constraint.
The government also recently has introduced a scheme for the Affordable housing that was applicable from 1St April 2019 where there was reduction of GST from 8% to 1%. Homes which are priced up to Rs 45 lakh with a carpet area of 60 sq. metres in metro cities and 90 sq. metres in non- metro cities are classified in the affordable housing sector. The government has also given the developers several incentives including subsidies, tax benefits and most importantly, institutional funding to encourage more development of housing sector.As per the RBI incentive measures, the cost of affordable residential property should be less than Rs 65 lakh in metro cities and Rs 50 lakh in non-metros.
The trend for affordable housing is rising as it helps the low income people to live in their own home. Thus, affordable housing has made everyone’s dream turn into reality.