Affordable houses to provide Rs 5,00,000 crore business opportunity

NEW DELHI: The affordable housing segment will offer business opportunities worth over Rs 5,00,000 crore (Rs 5 trillion) as India requires more

EMIs and tenure Land as investment Buying house? Quote price Home loan process Know your Home Loan How to transform your home

than ten million houses to be built by 2013-14.

According to a report prepared by property consultant Knight Frank on Public-Private-Partnership model on housing in India, an estimated 11.84 million dwelling units are required to be built in India by the end of 2013-14 across all income segments in 37 cities.

The need from the economically weaker section (EWS, lower income group (LIG) and lower mid income group (MIG) is nearly 90 per cent of the total housing requirement, it said.

"The cumulative task of delivering over 10 million units in affordable housing category in top 37 cities of the country quantifies to a business opportunity in excess of Rs 5,00,000 crore," the report, prepared for realty body NAREDCO, said.

Commenting on the potential of the segment, the report said though the margins realised from affordable homes are comparatively lesser, the segment offers an opportunity to exploit volume of transactions to derive higher profits.