Affordable Housing Changing the Real Estate Sector

In a country like India where homes vary from single rooms to multi-storeyed mansions, affordable housing projects can make a great difference. This segment of the real estate sector is predicted to grow and drive the Indian economy in the future. Some experts believe the growth rate to be well over 30%.

Eight cities in the country have come forward to experiment with affordable housing and have shown results. Housing projects priced below INR 50 lakhs formed the majority of the total launches alluding to the fact that the country is making the most from it. Not only is affordable housing considered a respectable segment today, it may well be the missing link for the real estate industry.

In 2007, when the first of the affordable housing projects started, the real estate sector was under severe pressure. Apart from the heavy costs that came with construction, there was also unavailability of land and little incentives. The tax environment was discouraging as well. But, it started changing with the announcement of the “Housing for All by 2022” by the new government. The scheme aimed at building 2 crore homes in all urban locations within five years. The program acted as a catalyst for the real estate sector with incentives and schemes to promote growth.

The government began by granting an infrastructure status to the upcoming affordable housing projects, allowing developers to have access to funding including the external commercial borrowings (ECBs). In addition, the project promoters were granted a total of five years to complete their projects. The government also revised the qualifying criteria for a housing to be considered affordable for both metro cities and non-metro cities. This has given a tremendous increase in the affordable housing market. Apart from all the advancements, the government has also allowed developers to pay their taxes such as the notional rental income tax in a year’s time while the Credit Linked Subsidy Scheme (CLSS) was also announced.

This push for policy and the financial assistance by the incumbent government has brought more real estate developers to take up the new housing segments. Although the demand for affordable housing already existed, the regulations, infrastructural support by the government and urbanization has augmented its popularity.

If you are looking for affordable housing projects in Gurugram or NCR, you are likely to find what you want. The government has passed RERA that has given buyers fresh confidence in the sector. The first-time buyers can also find homes within their budgets and easily-available finance has made the demands even higher. More financial institutions have come up that offer small home loans to people in small towns and cities. With a huge population falling within the low-income and middle-income groups, the demand for affordable housing can reach as high as 25 million homes. 

There are however, some challenges such as finding land in the urban centres of the country. To create 2 crore homes within the next few years will become difficult without land availability. Large government bodies which currently hold non-essential lands have to be unlocked for this purpose but without it, the dream housing for all will be distant reality.

The housing shortage seen within India has already crossed one crore units. Even though the government has recognized this gap in housing, it will take years before any real changes can be seen. However, with the government also consolidating the policies, infrastructure, and financial availability, it is likely that affordable housing can close the ever-widening gap. Urbanization and increasing demands for affordability has placed affordable housing projects as a viable commercial opportunity that can alter the course of the real estate sector. 

Signature Global is a reputed name in the real estate sector in India dealing in affordable housing projects. Signature Global’s residential flats in Gurgaon include their massive projects of Solera (Sector 107), Synera (Sector 81, NH8) Andour Heights (Sector 71), Orchard Avenue (Sector 93), Grand Iva (Sector 103), Roselia (Sector 95A), and Serenas (Sector 36). At present, Signature Global’s Signum project offers retail shops in Gurugram in sector 36, 95A, 93, 103, 71, 81, and 107. For bookings, check http://www.signatureglobal.in/retail

AFFORDABLE HOUSING: A DREAM COMES TRUE

Affordable housing in Gurugram has been a motive by the government to provide an own house to all the sections of the society so that nobody remains homeless. The Pradhan mantra Awas Yojana was launched in June 2015 and the execution of the same has been speaking volumes since then. There have been amendments and enactments regarding the policies related to the real estate sector so as to offer the appropriate climate to the affordable housing segment.  There are many private and financial firms that have been taking productive steps in this direction. The reduction of home loan interests by certain banks has given a major ease up to the people still struggling to purchase their first own house.  The developers and builders of the nation have been working hard to make affordable housing units ready before time but due to certain challenges, some states lagged behind. In order to deal with such challenges and situations, the government further made amendments in real estate related terms so that the execution could get a boost. The PMAY policy is entirely dedicated to suffice the needs of a common and middle-class section that cannot afford high-priced housing. There has also been noted an increased rates in the sales of affordable housing units.

“There have been a majority of people striving to buy own homes thus,  affordable housing units are a source of relief for the people who couldn’t purchase an own house. Indeed it’s a beneficial step as we being a developer would be sufficing the basic needs of the people and market goes smoothly when we understand the need of our consumers and come with projects accordingly. Affordable housing is not just a benefiter for buyers but also for developers like us who pay special attention to the needs of the majority  and contribute to the easily affordable units” says Pradeep Aggarwal, Co-founder & Chairman, Signature Global.

Source:- www.signatureglobal.com

In the present social scenario, owning a house is considered to be an important status symbol. But, it is not just a financial milestone, owning a house can be a great investment and offer structural sustainability, when needed. Perhaps, this is why more people incline toward buying than renting. Renting has its advantages but there is nothing like the feel of your own home. How do you know when you are ready? Real estate experts give five questions to consider before making the transition.

1.      Do you want to control your surrounding?

As much as we try to find a rented property best-suited to our needs, it is likely that there is something more that we want. It could be that we want a swimming pool for your kids or perhaps we want to remodel the kitchen. In fact, some homeowners ask their tenants not to bring guests over, not add or remove any fixtures, and complain for just about any noise. If you are among the many frustrated with this meddling, experts say that it is a definite sign to change. Upcoming affordable housing projects across Delhi/NCR allow you to design your space as you want. In addition, many of these projects offer facilities and services that you would not find in rented spaces.

2.      Are you interested in a specific part of the city/country?

This is an important question to consider. Most rented houses, although they are affordable, are located in corners lacking essential facilities. This is a fine solution for single individuals but if you have a family, this could mean continuous difficulties. In some cases, you may like a particular neighbourhood, but there are no renting options available. Affordable housing projects are your answer. These projects are spread across the city and available at prices that you can afford. In addition, investing in an affordable house gives you the necessary footing within the neighbourhood of your choice.

3.      Are you coming across good deals?

In the current scenario, it is likely that you are coming across good deals on home projects in Gurgaon and neighbouring areas. The new government policies are working wonders for the real estate sector and you can continue to expect good deals for a while. But what happens now? Are you going to stop about the what-ifs and take the first step? Experts advise that if you are finding a good offer, you should at least consider the property. Check it out, compare the prices in the market, research a little and then decide what you would want to do. The affordable housing projects are very popular in the market especially because more financing institutions have come up to support them. This might be your chance.

4.      Do you have enough savings for a down payment?

Most of us work hard to increase our savings. But after a while, the savings sits in our bank accounts without getting us benefits. If you like a property and find that you have enough savings for a down payment, decide to act. Experts claim that people work a lot to save the down payment amount but when it is time, they hesitate. They aim to find something bigger, better for the same value. It is unwise to let that capital lose its value when you can exchange it for a worthwhile investment. Remember, a property is of consolidated value.

5.      Are you considering having a family?

This is a clear sign for a transition. More people in the family means more space, more bedrooms, and more storage. On the contrary, you may find that your rented house is too spacious and you don’t need that space anymore. Buying a new space, according to your family’s current or projected size could be worthwhile. Affordable homes are giving an opportunity for small and large families to have their perfect space.

Signature Global is a reputed name in the real estate sector in India dealing in affordable housing projects. Signature Global’s residential flats in Gurgaon include their massive projects of Solera (Sector 107), Synera (Sector 81, NH8) Andour Heights (Sector 71), Orchard Avenue (Sector 93), Grand Iva (Sector 103), Roselia (Sector 95A), and Serenas (Sector 36). At present, Signature Global’s Signum project offers retail shops in Gurugram in sector 36, 95A, 93, 103, 71, 81, and 107. For bookings, check http://www.signatureglobal.in/retail

Millennials are the New Affordable Home Buyers

If you are a homeowner looking to sell your residential flat in Gurgaon or any part of the NCT, the chances are you will be selling it to a millennial. It is seen that the millennials are the newest entry into the real estate sector. It is possible that today they are form the largest group purchasing homes for the first time. This seems to be a new trend, where earlier, this generation was known to rent housing in cities. So, what is it that you as a homeowner need to be aware of to cater to this population? Here are some quick areas.

One of the most important reasons for this generation to deviate from their original behaviour is the low rate of interest available in the market. The launch of the affordable housing scheme in Gurgaon, NCR, and other areas in the country have prompted millennials to think of investments in a sustainable manner. What could be a better investment than a real estate property? The confidence is high, and many of them believe that they would like to purchase a property. In addition, the availability of more financing options adds to their developing interest.  Nonetheless there are some hurdles paving their way.

If we look at the real estate scenario a little closely, we see that there is a shortage of affordable housing projects in the country. Even in Delhi NCR, which remain the top property destinations lack more options. The affordable housing project launched by the government intends to work well for low income groups and economically weaker sections. The millennials wanting to buy homes do not fall in this category, which calls for an extension of the criteria employed for the scheme.

In addition, most affordable projects are present in the city’s periphery, where transportation and basic amenities are yet to reach. In this scenario, working millennials find themselves unfairly tackling infrastructural limitations against their interests. With inter-city migration, especially for better economic opportunities, millennials prefer living closer to their work places and where there are amenities present round the year.

As a homeowner, it would a wise decision to invest in meeting some of these expectations. Enlisting yourself with a loan officer or working closely with a real estate agent will allow for matching your property with the right client. In addition, even though your property may not have luxurious countertops and club memberships, real estate agents can help millennials look for the right deals, such as a school district and a safe neighbourhood. Ensure that you are making the business as simple and easy as possible for the buyer. This could include easing the paperwork process, discussions about the down payments, and any credit issues that may need to be handled. The unfamiliarity may be an overwhelming experience for them and you can ensure that they have a good experience.

The market conditions are in favour of affordable homes than premium housing projects. Nonetheless, you may come across buyer expectations which may not suit your present situation. Research well about any additional investments into the project and see whether you will be rewarded by the market in the days to come. Millennials will continue to remain a strong contender in the real estate market as homebuyers especially because their economic projections are favourable. As a large population in the country is reaching their retirement, more millennials have stepped forward to fill their gaps. It is beneficial to see these new customers for the kind of influence they will have and leave on the real estate sector. After all, they are the future.

Signature Global is a reputed name in the real estate sector in India dealing in affordable housing projects. Signature Global’s residential flats in Gurgaon include their massive projects of Solera (Sector 107), Synera (Sector 81, NH8) Andour Heights (Sector 71), Orchard Avenue (Sector 93), Grand Iva (Sector 103), Roselia (Sector 95A), and Serenas (Sector 36). At present, Signature Global’s Signum project offers retail shops in Gurugram in sector 36, 95A, 93, 103, 71, 81, and 107. For bookings, check http://www.signatureglobal.in/retail

Affordable housing and Real Estate in Gurugram

The execution of the affordable housing projects is already speaking volumes and on the top of it, the demand for affordable housing projects is also being considered high.  Blooming demand for the residential affordable projects will undeniably give a huge boost to the real estate sector.  Even the industry experts and researchers have concluded that this sector is going to turn the corner within the next five years. According to the experts, affordable housing wing may see a rise of 37 percent by the financial year 2021-22 compared to the present scenario where it’s 26 percent.  The rankings of experts suggest that the demand for affordable homes has risen four times the existing stock to 250 lakh homes at this period.  The faster uplift in the market is due to the support of government bodies and alterations in the policies of the private firms. Be it the marked down interest in home loans or enactment of acts like RERA, the overall real estate segment has entered a transformation league which is enabling more buyers to invest. 

With the rapid development, the retail projects in Gurugram there is a noticeable spur in the commercial and residential affordable projects in Gurugram as well.   It all started with the Prime Minister’s initiative to provide housing to all, this initiative is being carried out under the scheme, “Pradhan Mantri Awas Yojana”. According to the government’s Credit-Linked Subsidy Scheme (CLSS), households with income of less than Rs 18 lakh are suitable to go for affordable LIG and MIG housing units under its interest subsidy scheme. As most of the people belonging to the low-income background are still struggling to purchase their own house, there is a huge demand for the affordable housing units. Being the low-cost units, such properties are a new hope for people aspiring to buy the first house. The frequently held meetings by the government authorities try to eliminate the challenges that are being faced by the developers and builders while executing such projects.  Also, there is a clear-cut statement by the experts that this segment is going to be the most established wing in the coming years. The policy makers and the financial institutions have made ample amount of amendments in order to assist the same PMAY scheme.

 “The higher demand will naturally give a boost to the execution of such projects making a positive impact on the urbanization as the affordability of homes would be high. The government’s push and cooperation from the private firms have helped the sector to its fullest. Not just the PMAY but the recent amendments assuring laws and transparency have perked up the sector.  Not just the affordable housing projects but also the commercial projects in Gurugram would get a benefit as the whole of this market is getting evolved. Being a developer, we expect this progress to enhance further and grow at a faster pace. The assured transparency would create a huge difference in the market as it would revive the lost trust of the investors says Pradeep Aggarwal, Chairman, Signature Global.

Affordable Housing In Gurgaon

Signature Global Real Estate Updates - Affordable Housing in Gurgaon: Affordable housing in Gurugram

Signature Global Real Estate Updates - Affordable Housing in Gurgaon: Affordable housing in Gurugram: Since the policy assuring housing for all has been initiated by the Prime Minister, there has been a major drift in the functioning and po...

Affordable housing in Gurugram

Since the policy assuring housing for all has been initiated by the Prime Minister, there has been a major drift in the functioning and policy making of the real estate sector. The Pradhan Mantri Awas Yojana has persuaded many of the developers and builders to look up to the needs of a common man.  The real estate sector was much more inclined towards the luxury aspect and focusing at the high –cost housing projects. In the middle of the smart city and high-priced projects what made the real estate segment lag behind was the fulfillment of the needs of a common man who could only afford low-cost housing units. Realizing the need of a common man, the government launched the PMAY policy dedicated to the affordable housing.  The aim of the policy is to provide an own house to all the families who have been aspiring for the same for a long time. The initiatives for the affordable housing units are being taken by various states as they have already introduced low-cost projects in their regions.  

 

Not only was the common man’s demand but credibility and transparency had also been at par with the real estate sector that led to the visible crash in the market. Enactment of RERA has been introduced as one way to bring back the credibility and transparency into the sector. The lack of transparency had left many people dubious and reluctant about making investments in the real estate sector. The array of laws and policies supporting the needs of a common man has given developers the opportunity to reach out to more and more buyers and suffice their needs while giving a boost to the market.  Regarding the affordable housing segment, various financial institutions have now introduced low-interest rates on the home loans and other similar benefits for the people going for their first house.  The GST implementation is one such enactment that will enable buyers to know where exactly how their taxes get calculated. The simplified taxation process will let people see the whole of real estate sector as a profitable and dependable segment.  States like Haryana have not just initiated with the affordable housing units but the developers like Signature Global have recently introduced RERA certified projects to make it to the pace of the current market.

The developers keen to launch affordable units have also requested the government to provide some ease in the form of reduced land prices and shared their challenges related to land availability. The authorities of all states have been working vigorously to help out the developers with their challenges.  Most of the developers have realized that they will have to work in accordance with the governmental schemes and public demand so they are promptly coming up with low-cost projects to gear up the market. 

“We have prioritized affordable or low-cost projects realizing the need of majority so we are happy with the fact that authorities from all the states are paving way for such projects. This will enable us to reach out to the other regions with our affordable projects.  As far as Gurugram is concerned, we have been executing easily affordable housing projects in Gurugram are still busy promoting them” says Pradeep Aggarwal, Chairman, Signature Global.