Homebuyers in Delhi-NCR said the Union Budget 2019-20 offered them little. They had hoped for help with stalled housing projects, but the main measure for housing announced by Finance Minister Nirmala Sitharaman on Friday was a larger deduction on home loan interest.

A region hit hard

NCR was once a favourite destination for real estate investment. It is now among the areas worst affected by the sector’s slump, with multiple estimates putting the number of stalled flats at five lakh. Buyers have paid for these homes, but construction is stuck at various stages.

What buyers said

Homebuyers argued that few people would gain from the bigger deduction, since those with savings locked in unfinished flats have no money to buy another home. They also pointed out that the relief applies only to affordable housing.

A general secretary of the Noida Extension Flat Owners Welfare Association said people had high expectations of a government that returned with a full majority, but nothing had been done for those whose life savings were stuck with builders. Homebuyer Krishna Mitroo called for financial help for both developers and buyers, saying sales, purchases and rentals had all slowed.

The Budget measure

Under the Budget, buyers of affordable homes can deduct up to Rs 3.5 lakh a year in loan interest, an increase of Rs 1.5 lakh, for homes worth up to Rs 45 lakh. It covers loans taken up to March 31, 2020. Over a loan period of 15 years, this works out to a total benefit of Rs 7 lakh.

See also: Election news

Originally published on 6 July 2019. Rewritten on 9 October 2026.

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