MUMBAI: The Maharashtra Housing and Area Development Authority (Mhada) has received over 1.35 lakh applications for its 972 houses being sold through a lottery . The overwhelming response only reiterates the pent-up demand for affordable housing in India’s commercial capital.
The houses that are being offered under this lottery are in the price range of Rs.8.20-84 lakh in Mumbai’s suburban locations, including Borivali, Dahisar, Goregaon, Malad, Mankhurd, Chembur, Kurla and Powai. These residential units are spread over 180 sq ft to 800 sq ft.
“Response to our housing lotteries is usually strong, given the shortage of affordable homes in the city . However, this lottery has surpassed all earlier records with over 130 times response. Mhada enjoys a certain trust when it comes to land title and other permissions related to the project and the response does underline that,” said Vaishali Wagh, Mhada spokesperson, while confirming the development.
“Demand from first-time buyers for mid-income and affordable housing projects is strong and will continue to be that way . If there’s a perceived lull, it’s only because of a confidence deficiency and price factor of large-sized luxury apartments. Huge deficit in supply of affordable houses in Mumbai can be filled through joint efforts by the government & private developers,” said Zaheer Memon, partner, Zara Habitats, that focuses on smart-sized homes within Mumbai island city .
While the last date for submission of applications for the lottery was July 25, the number of applicants is still moving up as the demand drafts submitted by them are getting realised through banks. The lottery will be held on August 10.
This is the third housing lottery being conducted by Mhada so far this year. With this, Mhada has offered a total of 7,695 affordable homes to citizens. Earlier, two lotteries included 4,275 units in February and 2,634 units for mill workers. The February lottery had also received 1.10 lakh applications then.
According to property consultants, the government’s decision to allow first-time home buyers an additional deduction has bolstered the demand for affordable homes further. With the recent announcement, first-time home buyers can avail of additional deduction of Rs.50,000 paid for a loan amount less than Rs.35 lakh and for a house value less than Rs.50 lakh.
Credits ET Realty