Aditya Kedia, Managing Director, Transcon Developers
The demand for housing in India will only grow! This can be well told because the country’s population is increasing. With growing job opportunities and high aspirational values that individuals are nurturing, the trend of migrating from rural to urban India is going strong. This has also resulted in opening up of newer areas across India. Another important aspect that is lending to the idea of strong demand in housing is the growth in the number of nuclear families. So, where we used to have 5 families in one house a few years back, today, we look at five families in five different houses. To answer this rising demand for housing, what better than the government announced “Housing for All by 2022”, which is a fantastic initiative that aims at solving multiple agendas including decongesting the metro cities, urbanization, providing quality houses that are affordable.
Affordable housing segment till now
The government’s initiative -“Housing for All by 2022” opened an all new segment for most developers who were shying from entering the affordable housing segment. The various tax benefits and incentives associated encouraged both developers and buyers to take a plunge in this segment. 2017 was a learning curve for the developer fraternity, who got the right reasons to enter the affordable segment. The biggest push the segment got was being granted the infrastructure status that opened a whole gamut of incentives including ease of getting bank loans and a host of tax rebates. Also, new learnings on the configuration of affordable houses in metros and non-metros, how to go about affordable projects, package and market them to the customers were understood. In my opinion, another 6-8 more months will take to fine tune the strategies and after that there is no looking back for growth in this segment.
Role of technology in the affordable housing dream
Innovation and technology will play a vital role in the success of the affordable housing segment. With the kind of investment that goes in and the incentives attached, developers will be looking at newer ways to complete projects at a faster pace. Innovative methods would be sought after for projects that would earlier take 3 years for completion to be completed in a time frame of one and half years. Global construction ideas like use of dry walls based on precast technology, use of tiles that can be glued to the floor will be explored more diligently going forward.
Open ends that the government still has to work on
After addressing the important aspect of housing, the government must now also focus on the infrastructure in these areas. Proper connectivity and affordability should go hand in hand and the entire purpose is a success when people are able to make optimum use of everything. So, on one side where you are pushing affordable housing, infrastructure should be planned and executed so that these areas are in proper connectivity with the central business districts and other prime areas.
With robust infrastructure and housing going hand in hand, other sectors will grow thus helping in the country’s economic growth. Finally, it can be said that affordable housing segment is a true changer and gives all the segments an opportunity to become a part of the success story – be it the finance, steel, or the construction equipment sector.