Real Estate Industry Optimistic Yet Demand More from Budget Reforms

The real estate industry, represented by CREDAI and NAREDCO, was looking forward to substantial support in the Union Budget for home loans and affordable housing. While welcoming the Rs 15,000 crore fund to complete stalled projects, they felt that additional measures are needed, particularly for affordable housing.

Real estate apex bodies, CREDAI and NAREDCO, have expressed that the industry had high expectations from the Union Budget 2025, in terms of increased home loan interest exemptions and incentives for affordable housing. Still, they commended the Rs 15,000 crore fund allocated to finish stalled housing projects.

Boman Irani, National President of CREDAI, highlighted the income tax exemption for earnings up to Rs 12 lakh as a move expected to boost disposable incomes and consumer spending in the housing market. G Hari Babu of NAREDCO also appreciated this step as a significant boost for the middle-income demographic.

Despite the positive measures, leaders from both associations argue the need for raised exemptions on home loan interest and better definitions of affordable housing. They believe such revisions could further enhance market conditions and make homeownership more attainable for the middle class.

(With inputs from agencies.)