Home / Economy / News / Subsidy extension to spur demand for affordable housing, say experts

Subsidy extension to spur demand for affordable housing, say experts

The scheme, which has been extended to March 2021, offers interest subsidy of 3-4% to middle-income groups, depending on their income levels

Premium

Baijal, however, said that for demand for housing to return, irrespective of the category, the economy must start growing at a stable rate providing individuals financial security

Raghavendra Kamath Samreen Ahmad Mumbai

4 min read Last Updated : May 14 2020 | 11:37 PM IST

The extension of the Credit Linked Subsidy Scheme (CLSS) by one more year is expected to boost sale of affordable housing properties in the country.

The CLSS for the mid-income group -- those earning between Rs six lakh and Rs 18 lakh -- was started in May 2017.

The scheme was to end on March 31 this year. Now it has been extended to March 2021, the Finance Minister Nirmala Sitharaman said today. “250,000 middle-income families will benefit during 2020-2021 and will lead to investment of over Rs 70,000 crore in housing,” the minister said.

Borrowers in MIG-I (middle income

Topics : Nirmala Sitharaman Affordable housing housing loans subsidy Grant Thornton lower-middle income

What you get on BS Premium?

Unlock 30+ premium stories daily hand-picked by our editors, across devices on browser and app.
Pick your 5 favourite companies, get a daily email with all news updates on them.
Full access to our intuitive epaper - clip, save, share articles from any device; newspaper archives from 2006.
Preferential invites to Business Standard events.
Curated newsletters on markets, personal finance, policy & politics, start-ups, technology, and more.

VIEW ALL FAQs

Need More Information - write to us at assist@bsmail.in