Shivam Agarwal, VP Strategic Growth, Sattva Group
Budget 2025 has definitely seen a significant boost to the middle class with tax exemptions. While there was no tangible straightforward boost to Real Estate or mention of it in the budget, there are a ton of benefits that will stem from various other measures that will boost the sector.
– Under new regime, individuals now pay no personal Income tax upto Rs 12 lakhs per annum. Anything more has slightly better tax slabs than the old regime. This benefits more consumption and will allow more savings on EMI up and above the exemption.
– Homeowners can claim nil annual value on two self occupied properties instead of one. So if anyone owns more than one home, they don’t have to pay tax on deemed rental income on their second home.
– This budget has proposed and allocated upto Rs 15,000 crore under the SWAMIH fund to support completion of stalled residential units. This will help homebuyers whose investments were stalled or stuck due to non-completion and better the liquidity in the real estate market.
– Large scale real estate projects that receive global funding from sovereign and pension funds can now invest upto an extended date of March 31, 2030, boosting FII funding into the Real Estate Market.
– Rs 10,000 crore has been further added to the startup funds of funds already existing Rs 10,000 crore fund. A clear message that government sees startups as growth and employment funnels.
– The UDAN scheme proposes 120 new airports. Not only will this better connectivity to 120 new destinations, but boost infra, housing and development across all these sectors.
– A 1 lakh crore urban challenge fund has been set up to boost infrastructure and development in cities to turn them into growth hubs. Good for connectivity and overall infrastructure growth.
– For MSME’s the government has increased the credit guarantee scheme upto 10 crore. Rs 1.5 lakh crore has been added to expand capacity and boost growth for MSME’s.
Overall, there are significant measures taken to boost the economy. Happy with this budget. And now we move on to funnel growth further .