BETTER CONNECTIVITY TO BOOST AFFORDABLE HOUSING IN GURGAON

AFFORDABLE HOUSING IN GURGAON

Driving along Gurgaon, the construction activities can be seen in full swing. While there are thousands of units allotted, many are still under construction. The acceptability and demand for affordable housing units is getting in place as the outskirts of this city are getting well connected. Gurgaon, being the corporate hub of Delhi NCR region, has huge population which is still increasing day by day. It is due to the presence of various multinational companies (MNCs) that more and more people are getting drawn towards the city. The city has been in news for its weaker transport system with perpetual traffic. The ample amount of residential and commercial projects in Gurugram are simply because of the rapid employmenet growth and evolving transition of its development. The rapid metro is, however, playing a crucial role for the people living and working between Cyber City and Golf Course Road. The proposal for the Phase 2 Rapid metro project had been flagged off 6 months ago and there is a good news for the people residing in Gurugram as the proposal is now being prepared for the Phase 3 which would provide connectivity from the Sikandarpur metro station to the Gurugram railway station.

“Metro connectivity can augment the sales of housing projects and as the Rapid Metro currently operates in areas located between Shankar Chowk and Golf Course Extension Road, passing through Cyber City and Golf Course Road, it has already been providing an ease to the commuters of Gurugram. We have most our projects based at Gurugram so, this news has come up as a good news for us and all the other developers who have been contributing to the real estate sector of Gurugram. The metro connectivity would definitely make the real estate investment in the city excellent. It’s now high old time for the prospected buyers and all those who are planning to buy an affordable house as they would also be getting an enhanced connectivity due to the upcoming Rapid metro projects” says Pradeep Aggarwal, Chairman, National Council on Affordable Housing, ASSOCHAM who is also the Co-founder & Chairman of Signature Global.

PRIVATE DEVELOPERS TAPPING LOW-COST HOUSING

India is widely piped to become the world’s third-largest economy by 2030, as the  government is giving a strong push to the affordable housing segment it seems clear that the segment would remain as the focal point for the emerging real estate industry. Recently, the Confederation of Real Estate Developers’ Association of India or CREDAI – had announced the launch of 375 affordable housing projects across the country with an investment commitment of Rs 70,000 crore. Also, as the affordable housing segment is getting infrastructure status, developers are working overtime to tweak existing projects and convert them into affordable housing projects. The rolling out of the new Goods and Services Tax (GST) regime from July 2017, a major differentiator between markets has been done away with. An integrated national market will help the real estate sector by way of a common indirect tax structure.

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 states like Haryana that have appeared as more influential when it comes to affordable housing projects. With small-scale down payment it has become possible to book a home for the buyers. Also, the advent of RERA  is regaining  trust of investors for the developers and overall real estate sector. According to RERA, the  developers can now sell homes only on carpet area basis, unlike earlier times  when homes were  sold on super area basis, with loading varying from 25-40 per cent.  The newly enacted laws are going to benefit both the retail project s in Gurugram including the affordable housing ones.

“People  can enjoy the leverage of choosing a desired home as there are plenty of options available in the sector.  Going for a low-cost property is still a better option as compared to the rental living. For these reasons, communities should work to ensure that they go for the right property so that they are able to suffice their other financial needs as well” says Pradeep Aggarwal, Co-founder & Chairman, Signature Global.

GOVERNMENT BRINGS OUT GOOD NEWS FOR AFFORDABLE HOUSING

According to the latest reports, the government has approved construction of 112,083 more affordable homes under its flagship Pradhan Mantri Awas Yojana (Urban), with an investment of Rs 8,105 crore. The central assistance for the same will be Rs 1,681 crore. The total homes sanctioned under PMAY(Urban) has now gone up to 3,052,828. The approval was given in the 28th meeting of the central sanctioning and monitoring committee in its meeting held here on Wednesday. Haryana got 24,221 houses sanctioned in 28 cities and towns, with an investment of Rs 1,721 crore, followed by Maharashtra with 11,523 homes with an investment of Rs 860 crore, Kerala with 9,836 homes with an investment of Rs 295 crore and Mizoram with 3,270 houses with an investment of Rs 65 crore. Sources suggest that a total of 44,692 new homes have been approved to be built under the beneficiary led construction (BLC) component of PMAY (Urban), while enhancement of 1,857 homes in Haryana were sanctioned under BLC.

“It would be an ease-up for the first time home buyers as they would be getting ample opportunities to select the desired space for living. The rising demands on affordable housing in INDIA and the increasing interest of developers to invest in affordable housing projects mandate a clearer understanding and appreciation of the lifestyles and cultural values of the local society. We wish to contribute more to the enactment of this policy so that the motive of providing own houses to all gets accomplished” says Pradeep Aggarwal, Co-founder & Chairman of Signature Global who is also the Chairman, National Council on Affordable Housing, ASSOCHAM

GRAND TRIUMPH – “THE MILLENNIA” OVERSUBSCRIBED BY FOUR TIMES!!

Affordable Housing Projects in Gurgaon - Signature Global

Signature Global being one of the established names in affordable housing, today believes in the motto of “Har Parivar Ek Ghar”. It is a 100% RERA compliant company that has successfully launched 9 of their affordable housing projects in Gurugram. Their main focus is affordable housing so they are currently aiming at delivering around 1 lakh units till 2022 to support the endeavour of the respected Prime Minister of “Housing for all by 2022”.
Signature Global believes in transparency and assures timely execution of the projects within 3.5 years from the date of project conceptualization.
The Millennia Sector 37 D Gurgaon near Pataudi Road is their latest project which has been designed by the notable Architect Hafeez Contractor. The same project recently underwent a draw in the presence of Haryana officials and various applicants on 27th October 2017 at Corus Banquet Gurugram.
The Millennia includes 1448 housing units consisting of 1 bhk 2 bhk and 2 bhk housing units. Around 2,500 applicants gathered to participate in the draw whose application submission commenced on 25th June and got closed on 14th August 2017. The draw lasted less than 75 days as it got an overwhelming response of more than 5000 applications.
“We would like to cordially congratulate all the successful allottees of The Millenia. The people are now having ample options, as there are many affordable housing projects available for them. Going for a value-based property is still a better option as compared to the rental living. Considering these reasons, communities should make themselves aware of the ins and outs of the project while considering the current real estate scenario as this will increase their chances of opting the right property.” says Pradeep Aggarwal, Chairman, National Council on Affordable Housing, ASSOCHAM who is also the Co-founder & Chairman of Signature Global.
Value-based homes with less hassle is what everybody strives for.
Decent, affordable housing has been important to most of the families. The basic need of getting a shelter for the living is fulfilled by the same. The low-cost projects give an opportunity of spending a decent amount in all the other relevant segments of life. Even the reports suggest that children in stable housing tend to do better in school and are less likely to experience a disruption in their academics and career. India already has a housing shortage of 2 crores and the reason behind this being the lack of affordability factor in the properties. The affordable housing projects have the high rate of absorption as there is a lot of demand for the low-cost units. The affordable housing factor is going to benefit as the land cost is going to be lower in the areas where affordable housing has to take place. The developers should bring projects according to the need of buyers and investors. It’s quite clear that there are people who are still aspiring for own houses so the developers should work in the same direction to maintain a consistency in the market. According to the reports, 1.77 million people are still homeless in India and most of them are relying on the rented properties. The statistics clearly show that there is a high demand for housing units and preferably these housing units should be easily affordable by the majority. The demand for affordable housing projects is rapid says the industry experts. The government authorities are meeting frequently in order to eliminate the roadblocks that are being faced by the developers while executing such projects. Already the policymakers and the financial institutions have made enough policies and amendments in order to facilitate the Pradhan Mantri Awas Yojana scheme.

ALL YOU NEED TO KNOW ABOUT AFFORDABLE HOUSING

Affordable Housing in Gurgaon
The much talked about segment of real estate has gained momentum speedily. As part of the initiative initiated by the Prime Minister to provide affordable housing to all, affordable housing projects have 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 Mantri Awas Yojana was launched in June.  Affordable housing refers to the housing units that affordable by the section of society whose income is below the median household income. The price related to affordable housing will vary depending upon the regions. The affordable housing units for the metropolitan regions should have a capping area of 30 square meters and for non-metropolitans, the area should be 60 square meters.  Cities like Delhi, Mumbai, Kolkata, Chennai, Bangalore, Hyderabad, etc. fall under the metropolitan region and rest of the areas would lie under the later one.

The affordable housing projects have a high rate of absorption as there is a lot of demand for the low-cost units. The affordable housing factor is going to benefit as the land cost is going to be lower in the areas where affordable housing has to take place. The developers should bring projects according to the need of buyers and investors.  It’s quite clear that there are people who are still aspiring for own houses so the developers should work in the same direction to maintain a consistency in the market.  According to the reports, 1.77 million people are still homeless in India and most of them are relying on the rented properties.  The statistics clearly show that there is a high demand for housing units and preferably these housing units should be easily affordable by the majority. The demand for affordable housing projects is rapid says the industry experts. Approximately, 12,000 applications belonging to the middle and low-middle income home buyers have been processed by different banks for interest subsidy in just two months. This number may reach 50,000 by August says the Housing Ministry. The various initiatives taken by the financial institutions in the form of interest reduction on home loans are paving way for the aspirants striving to buy their first home. The enactment of GST has not only made the taxation process easier but has also introduced transparency. These enactments are altogether fostering the market and also encouraging people to invest.

AFFORDABLE HOUSING AS AN EMERGING INDUSTRY

As the reports can clearly show that the affordable housing has undeniably gained momentum.  It would be the next juncture for investment says industry experts and stakeholders. However, the responsibility of supplying affordable housing is initiated by the government, the entire industry of financial institutions and developers are coming to the forefront to make the government’s “Pradhan Mantri Awas Yojna”   accomplish. Affordable housing projects have become a new interest for the developers as they know it’s attracting more homebuyers.  Due to the governmental initiatives, the concept of affordable housing has become an admirable concept. The concept is still growing; the goal to provide homes to all still prevails. The push from the government is encouraging the private sector participation to this concept.

According to the reports of officials belonging to the financial firms, corporation’s January loan applications rose 21% over December. February witnessed 24% haul up, and March was 44% more than the previous month. It seems that the affordable housing is not just about providing affordable homes to the lower-income strata of society. Through the newly introduced policies in certain segments, we can assume that it is having a direct connection with the nation’s economy and the whole of the real estate climate. The recent push for this project is commendable but the lack of availability of land is a major concern. The developers are in need of land and the unused area can easily gratify their needs. The major concern of is to execute the “PradhanMantriAwasYojna” at a faster pace. Land availability is currently the major challenge for the developers across India.

“According to me, the quick execution and policy change, the sector will give rise to new parameters and housing styles.  This will also lead the financial institutions to work on lower thresholds which will make new inroads for the home-buyers.  The increase in demand of affordable projects is seen on the real estate portals clearly by the experts. It’s a positive sign for us as we have been focusing on a similar concept since the beginning” says  Pradeep Aggarwal, Chairman, National Council on Affordable Housing, ASSOCHAM who is also the Co-founder & Chairman of Signature Global.

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