Reactions on Union Budget 2018-19 from the realty sector

Government’s seriousness and target to achieve housing for all by 2022 saw a boost for the affordable housing segment, where an affordable housing fund has been proposed.

Feb 01, 2018 10:02 IST India Infoline News Service

Manoj Gaur, Vice President CREDAI-National & MD, Gaurs Group
This year’s union budget presentation missed on providing the much needed cushion to the realty sector. This was the first budget session post the implementation of RERA and GST, and thus we had hoped for certain incentives for this sector. Government’s seriousness and target to achieve housing for all by 2022 saw a boost for the affordable housing segment, where an affordable housing fund has been proposed. Apart from this, heavy allocation of funds towards infrastructure upgradation will help towards the nation’s development.
 
Deepak Kapoor, President CREDAI-Western U.P. & Director, Gulshan Homz
For a sentiment driven sector such as real estate, it is imperative that the budget proposes benefits towards the personal income tax model. Today’s union budget did not address towards the taxation structure for the general masses, but did provide a benefit to MSME by extending the corporate tax of 25 percent for companies with an annual revenue upto Rs. 250 crores. Reduced tax burden on corporates might allow real estate to see new start ups and increase job opportunities.
 
Gaurav Gupta, General Secretary CREDAI-Ghaziabad & Director, SG Estates
Union Budget 2018-19 has stressed a lot upon developing infrastructure and creating a pool of job opportunities. Though, there wasn’t a direct benefit accorded to the realty sector this time, but the proposal of development of 4 lakh Kms of road and upgrading rural infrastructure will greatly bring up the Tier 2 and 3 cities of India on the realty map. This is in the long run will help boost the housing demand and investment opportunities for those regions.
 
Abhishek Bansal, Executive Director, Pacific Group
The government has shown keen interest towards enhancing the connectivity and infrastructure in the country by proposing an amount of Rs. 50 Lakh crores. Agriculture sector was the biggest gainer in today’s Budget presentation along with a major relaxation to MSMEs by way of reduced corporate tax. Real estate sector did not see a direct incentive today, but better infrastructure and connectivity will pave way for greater housing and commercial demand in the developing regions.
 
Pradeep Aggarwal, Co-Founder & Chairman, Signature Global
We welcome the union budget 2018-19 by the government which has aimed to provide a major thrust to the affordable housing segment in the country with a target to fulfil the dream of housing for all by 2022. Major announcements were made for the betterment of this segment once again. Proposal to open up an affordable housing fund will greatly benefit in the long run. Plan to develop over 1 crore houses in the rural areas will significantly help the housing mission. Announcement of development of new roadways across the nation will allow the untapped regions to develop. With such scale development, job creation is bound to happen as well.
 
Vikas Bhasin, MD, Saya Group
Real estate sector got missed out in today’s budget presentation with just some indirect long term benefits in offer. Work on the infrastructure front has been the backbone and the same has received massive allocation of funds yet again. With rapid development, more and more smaller regions will come into lime light, and may become the next investment hubs. With such large scale development, ample of job creation will occur which will open the gates for housing demand as well.
 
Dhiraj Jain, Director, Mahagun Group
This was the last full union budget presentation by the current government which has come out with a mixed bag for the realty sector. Since this was the first budget for the realty sector after the nationwide implementation of GST and RERA, we were expecting some gaps to be filled. Apart from affordable housing segment and infrastructure development, nothing much has been presented for the realty sector. Although, he are hopeful for the remaining budget session to bring some respite for this sector.

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