The price of affordable flats in Gurugram, Faridabad, Panchkula, Pinjore, and Kalka has increased from $4,200 per square foot (sq. ft.) to $5,000 per sq. ft. as a result of new rates announced by the department of town and country planning (DTCP) on Thursday.
Additionally, the cost of a balcony has gone up from $1,000 to $1,200 per square foot. However, according to the regulation, if the balcony is larger than 100 square feet, the real estate company cannot charge more than 1.2 lakh.
Buyers were not pleased with the Haryana government’s decision to change the Affordable Homes Policy of 2013, claiming the higher prices effectively put affordable homes out of the grasp of the average person.
The affordable housing rates are too high for the average person to afford in Gurgaon. If the size is equalised, the buying price is practically same to that of premium houses. The rise is too steep, according to Sector 23A resident Arman Ahmad, who suggested a 200–300 increase would have been acceptable.
The buyers claimed that it has grown more challenging for the typical person to purchase a property as a result of banks raising interest rates on mortgages. Jitender Dalal, who had intended to purchase an apartment in the near future, predicted that the price increase would discourage individuals from investing in real estate.
The tariff increase was agreed on July 7 by the Haryana cabinet. In addition to Gurugram and Faridabad, the government has raised prices in Panchkula, Pinjore, and Kalka by 800 square feet, according to DTCP.
Realtors may charge applicants the increased prices even if the allotment letter has not yet been received, according to the government.
The rates in the high-growth areas of Gurugram, Faridabad, Panchkula, and Pinjore-Kalka have jumped from the previous rate of $4,200 per square foot to $5,000 per square foot on carpet space.
Real estate specialists claimed the price increase is significant and irrational. With developers hiking prices above Rs. 1 crore, already planned developments under the Deen Dayal Upadhyay Jan Awas Yojana have become unprofitable.
The move will be ineffective given that the middle class has mostly been purchasing homes under the Haryana government’s cheap housing scheme. Developers would also be impacted because of the decreased sales, according to real estate analyst Vinod Behl.
Souce- Hindustan times
