Pre-Budget quote by Mr. Venkatesh Gopalakrishnan

Mr. Venkatesh Gopalakrishnan - Director Group Promoter’s Office, MD & CEO - Shapoorji Pallonji Real Estate (SPRE)

“As we approach 2024, the real estate sector is at a crucial point, anticipating opportunities beyond conventional boundaries. With signs of pre-pandemic stability, the industry is poised for sustained growth. While acknowledging the government's efforts, we propose targeted measures in the upcoming Union Budget to unlock the sector's full potential. We urge the government to consider our primary request, which is a significant increase in the home loan cap from Rs 2 lakh to Rs 5 lakh annually. This would not only incentivise homebuyers but also boost industry revenue. We advocate for a reduction in long-term capital gains tax, waiving notional rent on second properties, and aligning the income tax rate with corporate rates at around 25 per cent. In order to revive the sector, the government should focus on affordable housing. We propose to reduce GST rates and interest subventions for affordable housing. Single window clearance for the sector has been pending for a long time. We hope to see it granted in this year’s budget.

Further, we support the industry-wide call for granting "industry status" to the residential sector, aligning with the government's vision of "housing for all." Additionally, supportive measures, including NAREDCO's appeal for an INR 50,000 crore fund, will also align with the government's vision of "housing for all" and could significantly fortify the sector's trajectory. The budget is a chance to redefine affordability as the diverse locations demand different price caps instead of uniformity. Recognising changing investment dynamics, we suggest expanding Section 80C limits for millennials and Gen-Z homebuyers.”