Lately there has been a lot of buzz regarding affordable housing but what is this affordable housing and why has it become so important for our government , what is in it for common man ?are some question that hits our mind regularly. Its an unhidden fact that India has a huge population of 120 plus crore people out of which only 4.5 lac earn an income of more than 20 lac per annum.
Most of the houses build in the metros are priced at 50 lacplus, an Indian on an average earning 6 lac per annum cannot afford to buy an apartment in the metros. As more and more people are now making a move towards the cities, the problem of housing and basic amenities pop up, moreover with increased cost of living it has become difficult for the people of economically weaker sections and middle class to buy a house. Thus the government has planned to introduce affordable housing to help the major chunk of the society become the owner of their own house by 2022.
As per the estimate of Technical Group formed by the Ministry of Housing and Urban Poverty Alleviation, the housing shortage of 24.71 million was estimated at the end of 10th Five year Plan. The government of India aims at diminishing the shortfall of housing for the economically weaker section and middle class. A lot has been discussed about the term affordable housing but there is no clear definition of affordable house; it is a relative term that varies from nation to nation. According to the report of RICS on Making Urban Housing Work in India, affordability means providing adequate shelter and ensuring security to people. The key parameters defining affordable housing are as follows:-
1. Income level
2. Size of dwelling unit
Although the affordable housing scheme is good for the overall development of the nation yet there are certain obstacles in the way of successful execution of this scheme, prime reasons include:
1. Regulatory Constraints.
2. Lenghty approval.
3. Land use conversion process.
Although the government has shown lot of enthusiasm regarding the affordable housing project yet there remains a huge gap between the demand and supply. As perKumariShelja, the Hon'able Minister of Housing & Urban Poverty Alleviation (MoHUPA), India is facing a housing deficit of about 2.5 crore for the economically weaker and LIGs . The report of Technical Group constituted by the MoHUPA, in 2010 illustrates that there is a requirement of a total of 26.53 million units. The report for NAREDCO in consultation with Knight Frank shows that 11.84 million unitswere needed to be build up by the end of 2013-14 across all income groups of which 90% are needed by economically weaker sections, low income group and middle income group.
Although the figures are grave yet the speed at which the real estate companies are getting inclined towards this scheme is slow giving rise to housing problems in the urban areas forcing most of the people to live in slums.