Budget Expectation - Quotes from Crib, UrbanMoney, Vestian

Mr Sudeep Chandran - Founder and CEO of YOURS, a platform for Fractional Ownership of Luxury Second Homes

"Real estate is a crucial sector for the economy, and the government should introduce proposals to maintain the current upward trajectory of demand in this sector. Allocating funds for infrastructure development in metros, suburbs, tier II cities, and holiday destinations is essential to drive real estate demand. Additionally, co-ownership and fractional ownership are becoming increasingly popular in India. The government should implement better rules and regulations, along with incentives, to regulate and promote these innovative property ownership models."

Amit Prakash Singh - Co-Founder & Chief Business Officer, Urban Money

"The real estate sector is a cornerstone of our economy, serving as one of the largest employers. We eagerly anticipate significant reforms in the upcoming budget under the new government. Securing industry status will unlock a plethora of legal and administrative benefits, along with much-needed tax incentives. Also, while government’s focus on affordable housing under PMAY is commendable, recalibrating strategies in light of escalating construction costs is imperative for sustained inclusiveness and effectiveness. Moreover, enhanced tax reliefs and increased deductions on home loans, currently capped at Rs two lakhs, are pivotal in stimulating demand and supporting prospective buyers. With these measures in place, the real estate sector is poised to contribute meaningfully to India's journey towards a 5 trillion-dollar economy."

Sunny Garg - Co-founder, CRIB

"There are various areas that need the finance minister's consideration, and the Budget presents an opportune moment to make these changes and improvements. One critical area where startups expect relief is in simplifying the taxation framework for startups, as well as the tax treatment of ESOPs. Removing or rationalizing the angel tax would also help significantly and enhance the availability of funds domestically, which is very crucial for early-stage funding. In the current funding climate, access to funding has become a major challenge for startups. We expect the Finance Minister to introduce initiatives aimed at enhancing funding sources, whether government-backed or from domestic and foreign venture capitalists. Furthermore, government support could greatly benefit the sector by reducing corporate tax rates for startups and enhancing the eligibility scope under Section 80-IAC for startups."

Shrinivas Rao, FRICS, CEO, Vestian

“We anticipate a budget that tackles pressing issues, boosts demand, and drives sustainable growth. As per the announcements in the interim budget, it is evident that the government will continue to focus on infrastructure development to make India a USD 5 Tn economy in the upcoming years and turn the country into a 'Viksit Bharat' by 2047. To achieve this goal, the real estate sector is likely to play a pivotal role.”

“After resuming a third term, the government has already announced the construction of 3 crore new units under PMAY. This shows the government’s commitment towards the real estate sector. Demand for residential units is expected to increase further, if the government increases tax exemption limits for home loans in the Union Budget 2024-25. Moreover, granting industry status to the real estate sector would ease availability of funds and increase participation of foreign investors.”