Exit Polls 2024: In Modi 3.0 realtors’ demand for industry status may gain traction

The wait is nearing its end. The general elections that were kickstarted in mid-March with the Election Commission of India (ECI) declaring the long-drawn polls, is finally over. All major survey agencies have come out with their exit poll numbers - giving a thumping victory to Prime Minister Narendra Modi-led Bharatiya Janata Party (BJP) - indicating a clear third term for the ruling dispensation.

India Today-Axis My India, for instance, has predicted the BJP-led alliance NDA to secure 361-401 seats in the Lok Sabha, which also indicates a record third term for the Prime Minister at the top office. The actual numbers, however, would only come by June 4 evening when the counting of votes is expected to be complete.

With the current government now expected to continue in power, stakeholders of the real estate sector in India are now expecting to gain the much-desired industry status for the booming sector. While, it has been demanding the status for quite some time now, according to realtors they are going to put forward the request ahead of the upcoming budget to the new government.

“Industry status demand has been discussed thoroughly with the authorities over the past several quarters. While the government is in principal agreement with the demand, as the elections are now over, we expect this to gain traction,” said a top executive from a leading real estate developer.

Additionally, demands like a revision of the rules and increasing the cap on affordable homes are issues that the stakeholders expect to get resolved.

Manoj Gaur, Chairman & Managing Director of Gaurs Group and President of CREDAI NCR, said “The sector is looking for the reintroduction of the interest subvention scheme to revive mass housing. Secondly, we are also seeking a redefinition of affordable housing and the limit for it should be raised from 90 sq m in terms of space and Rs 45 lakh in case of pricing. It will be a much-needed intervention as a considerable demand exists in the affordable housing segment. And lastly, we are also looking forward to announcements on GST input credit to stimulate growth and foster a more resilient real estate environment,” he said.

Amit Modi, Director of County Group is seeking industry status for the sector. “One of the primary expectations of the sector is the grant of industry status. The construction industry is a significant employer, especially with a considerable portion being unskilled and casual labourers, so conferring industry status would catalyse growth. It aligns with the national vision of providing housing for all and generating employment. Anticipated measures also include implementing a single window clearance system and a focus on promoting affordable housing,” he said.

Pradeep Aggarwal, Founder & Chairman – Signature Global (India) Ltd & Chairman - ASSOCHAM National Council on Real Estate, Housing and Urban Development, agreed with Modi. Apart from the industry status, Aggarwal also expects a few additional measures like single window clearance, revision of GST input tax credit rules, and increasing home loan interest rate rebates for homebuyers.