Narendra Modi has made no secret of his willingness to increase investment into real estate development, something evident in the unveiling of an ambitious plan to create a home for every Indian by 2020.
The Housing for All initiative is a goal to ensure housing for every Indian family, through the creation of a projected 20 million new units in urban cities, and 45 million in rural locales. Urban Development and Housing and Poverty Alleviation Minister Venkaiah Naidu has dubbed housing as a “priority area” looking ahead to 2020, stressing his passion for making property affordable by lowering rates on home loans. For real estate investors looking to buy real estate in some of the nations up and coming areas, these many new property developments offer plenty of opportunity.
Addressing the need for affordable housing
There’s no doubt that there is a need for more housing units throughout India.
There are currently 377 million people living in urban centres, a figure that has climbed from 17 per cent at the time of Independence to 32 per cent. By the time India celebrates 75 years of independence, it is the hope of the new government that the housing shortage will be solved.
In order to achieve this, there are plans to launch not only the developments themselves, but also the supporting infrastructure to accommodate the influx of residents. All of this development will of course create jobs, something that will stimulate the GDP and improve local economies throughout India. This in turn will make an investment in one of these emerging markets a smart choice for NRI real estate investors, who are able to get more out of their money now with the current rate of the rupee.
India is expected to become the most populous nation in the world by 2050, with the population projected to reach 9.2 billion according to a new report. To keep pace with this growth, the government will have to act quickly to get the development of new real estate underway. The Housing for All initiative is, to say the least an impressive, if ambitious goal, but for motivated real estate investors, this could be a good thing. With a stable government now in place, the population set to steadily rise and plenty of new stock expected in coming years, investors should buy now in order to get the maximum return on investment.
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