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Affordable housing top priority for the government: Finance Minister

New Delhi: Presenting the Union’s budget for 2021, Finance Minister Nirmala Sitharaman said that “housing for all” and affordable housing are priority areas for the central government.

The Ministry of Finance has allocated Rs. 54,581 crore to the Ministry of Housing and Urban Affairs in the 2021 budget. The government has also extended the additional tax deduction of Rs 1.5 lakh from mortgage loan interest until 31st March 2022.

In the July 2019 budget, the government has provided an additional interest deduction, of Rs 1.5 lakh, for the loan taken for the affordable home purchase.

Union Budget 2021,Affordable Housing

Sitharaman has proposed extending this discount eligibility for another year, until March 31, 2022. Therefore, an additional discount of Rs 1.5 thousand will be available for loans taken until March 31, 2022, for the purchase of an affordable home.

Additionally, to maintain the supply of affordable housing, the FM suggested that affordable housing projects take advantage of a tax credit for another year, until March 31, 2022.

To promote the provision of affordable rental housing for migrant workers, Sitraman has proposed allowing tax exemption for affordable rental housing projects.

Also Read: What Real Estate gained in Union Budget 2021

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