Affordable Housing Needs Support of Banks and Housing Financing Companies

March 8, 2017 | Last Modified: March 8, 2017 at 4:49 pm

Affordable housing across the nation need more support of banks and housing financing companies. Confederation of Real Estate Developers’ Associations of India (CREDAI) said that the banks and and housing finance companies need to support the developers and builder in the construction of affordable housing projects as margins are low in this segment.

CREDAI-NCR President, Manoj Gaur said that the interest in affordable housing has increased after this segment has been given the infrastructure status in the Budget.

With increased interest in the sector of affordable housing, it needs more support from banks and housing finance companies to achieve the target of housing for all mission by 2022. Due to low margins, the builder and developers need special facilities from partners to fund construction.

Instruction and directions of affordable housing would be completely followed by the developers at the time of planning the projects.

Property consultant CBRE released a white-paper and gave a positive outlook to the real estate industry saying that the impact of an unprecedented measure like demonetisation had only a short-term impact. It noted that the industry was moving towards increased transparency and governance reforms.

The white-paper also said that the sector was likely to witness the inflow of more formal sources of capital, with institutional capital likely to be infused into the sector in the longer term.

Source: http://www.dnaindia.com/money/report-credai-seeks-support-for-development-of-affordable-housing-2345644