“2024 Union Budget: Industry Titans Unveil Expectations to Propel India’s Real Estate Sector”
India’s real estate sector, propelled by a strong performance in 2023, is eagerly anticipating crucial measures in the upcoming interim Union Budget to sustain and expedite growth in 2024. Noteworthy industry leaders, including Ramani Sastri, Chairman & MD of Sterling Developers Pvt. Ltd, Manas Mehrotra, Founder of 315Work Avenue, and Lincoln Bennet Rodrigues, Chairman and Founder of The Bennet & Bernard Company, have shared their insights and expectations.
Ramani Sastri, Chairman & MD, Sterling Developers Pvt. Ltd, emphasized the necessity for comprehensive measures surpassing typical expectations. Sastri urged the government to raise the deduction limit for home loan interest payments, reduce GST on under-construction properties, and make adjustments in raw material pricing. He highlighted the importance of expanding affordable housing definitions to boost end-user demand. Additionally, Sastri advocated for personal tax relief, interest subsidies for first-time homebuyers, and measures addressing long-term capital gains.
Manas Mehrotra, Founder, 315Work Avenue, highlighted the growing relevance of the coworking industry and anticipated specific budget measures to support its expansion. His proposals included lower GST rates for small-scale clients, an enhanced salary upper limit for tax benefits, and addressing the issue of input tax credit under GST. Mehrotra also suggested concessions in stamp duty rates, a lower TDS rate, and an extended tax holiday for startups to further encourage the growth of coworking spaces.
Lincoln Bennet Rodrigues, Chairman and Founder, The Bennet & Bernard Company, reflected on the substantial growth witnessed in the real estate sector, particularly in luxury homes. He cited factors such as ease of fractional ownership, capital appreciation in non-urban locales, and evolving homebuyer priorities. Looking ahead to 2024, Rodrigues anticipated continued positive growth, increased investment from NRIs, and a thriving domestic market.
The collective expectations from these industry leaders underscore the significance of strategic fiscal measures to stimulate demand, address liquidity concerns, simplify regulations, and enhance the ease of doing business. The interim Union Budget, expected to play a crucial role in defining and sustaining the real estate sector’s growth, will be closely watched by stakeholders.