By Mr. Vikas Sutaria, Founder, Iraah Lifespaces
As we approach the Union Budget 2025-26, the real estate sector remains optimistic about receiving the much-needed impetus to drive growth, affordability, and sustainability. It deserves focused attention to address its long-standing challenges and unlock its full potential. Key Expectations include:
Incentivizing Homebuyers through Tax Reforms
We urge the government to revisit the tax deduction limits under Section 80C and 24(b) of the Income Tax Act. An upward revision of the deduction limit for home loan principal repayment and interest on housing loans will significantly improve housing affordability and encourage homeownership, particularly in Tier II and Tier III cities.
Infrastructure-Led Growth
Increased investments in infrastructure development, such as highways, metro networks, and urban connectivity projects, will complement the real estate sector by enhancing the livability of emerging growth corridors.
Special Focus on Second Homes and Luxury Housing
Locations like Alibaug and Lonavala are witnessing increased demand for second homes and luxury villas. Tailored policies to incentivize investments in these high-potential segments will support the rising aspirations of affluent buyers.
The Union Budget 2025-26 has the opportunity to lay a solid foundation for a balanced and inclusive real estate sector.
