Indian Real Estate Regulation Bill in Winter session of Parliament

The Indian Real Estate Regulation Bill, which aims to establish a regulatory authority for the real estate sector, is likely to be tabled in the upcoming Winter session of Parliament, Union Housing & Urban Poverty Alleviation Minister Mr. Ajay Maken said recently.

Minister Mr. Ajay Maken said, "The draft Real Estate Regulation Bill is currently circulated at the inter-ministerial level. We propose to table it during the ensuing Winter session. I cannot divulge further details now, as the Bill will be taken to the Cabinet for its approval"

Protect Consumer Interest..!

The draft legislation, pending since 2009, aims to establish a regulatory authority for the real estate sector, ensure sale of immovable properties in an efficient and transparent manner and protect consumer interest. The most important proposal in the draft Bill include setting up a regulatory authority in every state.

Minister Mr. Ajay Maken also said, The Private builders / promoters will have to reserve 35% of houses or  / 15% FAR (floor area ratio), whichever is higher for the EWS (Economically weaker sections), under the RAY (Rajiv Awas Yojana).The private sector to pass on the benefits to the EWS instead of only "maximising" their profit".

Under the ambitious RAY, the central government has proposed an expenditure of Rs. 40,000 crore, Minister Mr. Ajay Maken said, adding that bank home loans will be available for EWS without any collateral.

Minister Mr. Ajay Maken further said,  ''A credit risk guarantee fund has been created for low income housing & all states would have to implement these norms in all cities. The need for housing is growing rapidly as there has been a rapid urbanisation".

The Indian urban population has risen to 31% from 27% in the past  6 to 7 years while the total number of towns also surged to 7,800 from 5,100 during the same period..

The central government was giving priority to the development of green houses.

Tax Incentives for Green homes..!

"We will move the Finance Ministry seeking tax incentives for green homes, transfer of development rights (TDR) & FSI (floor space index) to encourage more green buildings. The green homes will also address the issue of climate change" Minister Mr. Ajay Maken said.

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