INTRODUCTION:

Affordable Housing is the buzz word in the housing circles. Since the onset of recession in the real estate
market, real estate developers have been announcing launch of Affordable Housing projects. Most of
these projects aim to provide houses in a price range of Rs. 12-25 lakh with an area of 700-1200 sq.ft.
These projects are apparently aimed at middle and upper middle income groups. Following the huge
pile-up of inventories in ambitious luxury housing projects launched during the boom period in the real
estate sector, the developers had no survival option but to reduce the prices. But along with reduction in
price, there has been a significant reduction in specifications of the product.

Affordable Housing gets defined purely in terms of what households in different income ranges can
afford and housing is provided by the market within that price range irrespective of the quality of
housing. The same pertains to housing for the urban poor. Since their affordability levels are very low,
the market provides them with housing which is characterized by insecure tenure, small size, unhygienic
environment and non-existent infrastructure. Non-availability of Affordable housing is as much a
problem of the middle income groups as it is of the lower income groups. In their inability to find
appropriate abode many a higher (not high) income groups (belonging to middle and lower middle
income groups) are constrained to opt for sub-standard housing. Many invade cheaper/ subsidized
housing provided by the state for the poor thus negating government efforts. The issue of Affordable
Housing (AH) thus has to be looked at in an integrated manner.

 For the EWS, for instance, an affordable house would mean a unit measuring between 300 and
500 sqft, prices below Rs 5 lakh for which a household has to pay Rs 4,000-5,000 in EMI (equated
monthly installment). The income ratios, in this case, should be of 2:3.
 For low-income groups or LIG, an affordable house would mean a unit measuring between 500
and 600 sq ft, priced between Rs 7 lakh and Rs 12 lakh for which a household has to pay Rs
5,000-10,000 in EMI. The income ratios, in this case, should be of 3:4.
 For mid-income groups, an affordable house would mean a unit measuring between 600 and
1,200 sq ft, priced between Rs 12 lakh and Rs 50 lakh for which a household has to pay Rs
10,000-30,000 in EMI. The income ratios, in this case, should be of 4:5.

A multitude of strengths and opportunities support the cause of affordable housing in India. Significantly,
not only are the buyers and suppliers interested in promoting this market, but policymakers too have
emphasised the need for affordable housing, if India has to address its urban infrastructure problems. A
number of initiatives have been introduced with respect to affordable housing.Opportunities are pienty,
and the market is underdeveloped, giving sufficient room for players to grow.

AIM:

TO TACKLE HAPHAZARD SLUM DEVELOPMENT (notified or non notified) IN A DEFINITIVE MANNER

WITHIN THE CITY, USING AFFORDABLE HOUSING SCHEME.

OBJECTIVES:
  Redressing the failures of the formal system that rtlie behind the creation of slums by planning
for affordable housing and identifying crucial changes required for facilitating the same.
 Slum identification.
 Identifying EWS LIG plots within city (Government or Private).
 List of land surrendered by the private bodies.
 Prepare a Scheme, on the basis of Affordable Housing Scheme to ensure maximum number of
affordable dwellings with all amenities.

SCOPE:

 Identification of Government land.

 Housing for all.
 Encroachment of Government land.