Due importance to affordable housing in Budget 2011: Ramesh Sanghvi, Director, Sanghvi Group

The budget of 2011-12 has certainly given due importance to the affordable sector. The current scheme of interest subvention on 1 percent on housing loans is now extended to Rs 15 lakhs where the cost should not exceed 25 lakh. The increase in the rural housing fund to Rs 3000 cr from Rs 2000 cr will offer several opportunities for real estate development in rural areas. All this along with the tax exemption from 1.6 lakh to 1.8 lakh will surely give an impetus to affordable housing.