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Budget 2026: Every section of society has some expectations from the upcoming Budget 2026, but if you live in a rented house or dream of buying your own home, this news is extremely important for you. CREDAI, the apex body of the real estate sector, has put forward a proposal to the Ministry of Finance that, if accepted, could significantly ease the difficulties faced by the middle class living in cities. CREDAI has strongly demanded that the government launch a ‘National Rental Housing Mission,’ which will directly impact your finances and lifestyle.

What is the National Rental Housing Mission?
Due to rapid urbanization in the country, the number of migrants in cities is constantly increasing, but there is a lack of organized rental housing to accommodate them. To address this shortage, CREDAI has demanded a ‘National Rental Housing Mission’ in the budget. The organization says that the government should provide tax breaks to both developers and tenants.

CREDAI argues that there is a need to create a large-scale affordable rental stock in Tier-1 and Tier-2 cities. If developers receive financial incentives and tenants are given tax relief, the availability of organized rental housing in the market will increase. This will not only curb illegal settlements but will also make it easier for people who move to cities for work to find a place to live. CREDAI President Shekhar Patel has also emphasized that increasing access to affordable housing and creating a robust rental ecosystem is now the need of the hour.

The definition of affordable housing will change.
Buying a house is the biggest financial decision in the life of a common man, but the rising prices of land and construction materials have made it quite difficult. CREDAI has drawn the government's attention to the fact that the definition of ‘affordable housing’ that was set in 2017 is now completely irrelevant. According to current regulations, only homes priced up to ₹45 lakh and measuring 60 square meters in metro cities (90 square meters in non-metro cities) qualify as 'affordable'.

In today's market, finding a decent home for ₹45 lakh in metro cities is virtually impossible. Therefore, CREDAI has demanded that this ₹45 lakh price cap be completely removed. They have also proposed increasing the carpet area limit to 90 square meters in metro cities and 120 square meters in non-metro cities. If this demand is accepted, larger homes would also fall under the affordable category, allowing buyers to benefit from lower GST (currently 1%) and other advantages. Furthermore, a recommendation has been made to increase the tax exemption on home loan interest from the current ₹2 lakh to ₹5 lakh, which could provide significant relief to homebuyers.

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