The Union Budget 2025 introduces strategic measures to strengthen India's housing and urban development sectors. The sustained support for Pradhan Mantri Awas Yojana, alongside the government maintaining its robust capital expenditure trajectory with an increased allocation of Rs.11.21 lakh crore, demonstrates a comprehensive approach to infrastructure development. This consistent capex commitment, coupled with expanded infrastructure investments, creates a strong foundation for real estate growth. The Income Tax reforms, which include relief on incomes up to Rs.12 lakhs for the middle class, put more disposable income in the hands of the middle class, enabling them to direct funds toward both housing investments and consumer spending. This increased liquidity naturally stimulates housing demand while generating broader economic activity. Furthermore, the budget's focus on sustainable construction practices positions the sector for long-term growth by aligning with global environmental standards. These coordinated policy measures enhance market dynamics by expanding participation across income segments while fostering sustainable development practices.
