However, the moot point here is that Tata Housing alone will not be able to meet the evolving needs of all homebuyers. Under the Shubha Griha project, only 1,200 of all applicants will get possession and that too only after two years. The government needs to free a lot more land for builders to construct affordable housing on the scale that is necessary to satisfy the huge demand.
The government also needs to consider creating a regulator for real estate to ensure that affordable housing remains affordable. Certain builders still demand a premium for affordable 2 and 3 BHK apartments in faraway suburbs despite advertising them as affordable property. Moreover, some buyers complain that certain builders even refrain from meeting them when they want to negotiate. A regulatory body which can register end-buyers complaints and enforce standards on builders is necessary.
Builders have their own reasons to be cautious about affordable housing. The repeated rise in cement prices, for example, threatens to raise construction costs and reduce margins.Still, the logic of the market demands that the next wave of construction takes place in the affordable segment.