Government finds out ways to reduce home prices

The government is lately anxious with the increasing property prices and the Union Housing Ministry has sought the opinion of the private developers and builders to plan strategically ways which can help in reducing the approval times of the real estate projects which would thereafter help in reducing the overall costs.

The ministry has also set up a committee to suggest ways to regulate and inquire into the approval procedures for real estate projects. It had estimated that an end user could end up paying almost 25-40% less the amount he usually pays if the grants or approvals are attained by the governmental authorities by a reduced time of six-eight weeks.

The ministry expressed concern over the growing shortage in the housing supply and to develop a fast track approval for realty projects so as to make available affordable housing to weaker sections and lower income groups (LIG) of the country.

According to a latest study by an official source the housing shortage is around 27 million units and atleast half of these people are those who cannot afford a house. The ministry strongly hopes that once the approval costs are diminished, the developers and builders would pass on the reduced costs to the consumers.