Government’s “Housing for all” scheme fails to address larger real estate issues – How far it’s true?


The Government of India took a very challenging decision of building homes for the poor under Housing for All (PMAY) scheme. It aims to be completed by 2022 March. The entire budget for this project is about 2 trillion in Indian currency. India has dealt with the problem of homelessness in lower economic strata of the society since Independence; several projects have been undertaken to fight for the roof but they have failed to eradicate the issue. PMAY made a huge stir after the declaration in the real estate market but the absence of the response from the private real estate giants has led to absolute failure.

PMAY’s failure in Maharashtra can be an eye opener for the government. Though it ranks 3rd in the list of maximum approved houses, land scarcity, confusing tax policies and delay in permission are major reasons why PMAY is bouncing back. Real estate investors are not happy with the land policies in this state. Without cooperation from private sectors, the scheme would not be able to pull off.

The total amount released by the government for this scheme is not even 1% of the proposed amount. In this way, it is impossible for the project to reach completion.

Home aspirants are losing interest in this scheme for many reasons. The window of profit seems to be closed as land policies and developing measures for slum dwellers largely depend upon the policies of the state.

The scheme misses out the point of public cooperation.The names of the cities are not included in the list; hence, banks are not approving loans even for eligible candidates of few cities. It lacks clarity in case of governing bodies. When faced with an issue, the public gets clueless due to the absence of governing bodies and officials. The banks fail to guide due to the absence of detailing in this scheme. Real estate investors fear legal liabilities due to the same reasons.

PMAY is almost taking a troublesome turn towards failure but there are still hopes for recovery if taken care of. The scheme needs to be clarified and moderated according to people’s demand. It did work good in case of Andhra Pradesh, Gujarat, and Bengal. If the real estate issues are addressed properly, it may be able to give India a better future.   


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