Good news for homebuyers: U.P. government announces THIS for Noida, Greater Noida and NCR areas

Noida: Large-scale relief for home buyers in NOIDA, Greater NOIDA, and the NCR region was announced by the Uttar Pradesh government on Tuesday. The implementation of the recommendations of the committee on legacy-stalled real estate projects, headed by former CEO of Niti Ayog Amitabh Kant, was approved by the Uttar Pradesh cabinet during its meeting on Tuesday, according to Suresh Kumar Khanna, the minister of finance and parliamentary affairs.

Amitabh Kant Committee

The central government established the Amitabh Kant committee in 2023 to look into real estate projects that had stagnated and make recommendations for how to get them back on track. According to the Indian Bank Association's analysis, sixty percent of the projects that have been put on hold have already been purchased with a ₹1.9 lakh crore capital commitment.​

Kant Committee Recommendation

The committee has advised immediate possession and property registration in order to safeguard the interests of homebuyers. Additionally, during the zero period (April 2020–March 2023) declared during the pandemic, the Kant Committee has suggested waiving off the interests. The recommendation to waive interest has been authorized by the cabinet, but stated that it will not apply to enterprises involving commerce, sports, or entertainment.

Protect Interest of House Buyers

According to a report of the Indian Bank Association, there are 4.12 lakh houses in the country that have not been completed due to the poor financial condition of developers. While 2.40 lakh houses are in NCR region, with the implementation of the recommendation of the Kant committee, the interest of house buyers will be protected. The builders will be able to complete the housing projects on schedule and this will give momentum to the economic activities in the state.

Zero Period: No Interest Paid 

Relief will be provided to buyers whose homes in the NOIDA and Greater NOIDA regions are unfinished or for whom possession was not possible. After purchasing real estate, buyers should register it or complete the sublease agreement right away. According to Khanna, minister of finance and parliamentary affairs there will be no interest paid for the zero period that runs from April 1, 2020, to March 31, 2022, during the epidemic.

The Amitabh Kant committee was constituted in 2023 by the central government to examine stalled real estate projects and to recommend ways to complete stalled projects. The Indian Bank Association in its report has said that 60% of the stalled projects had already been bought with a capital commitment of ₹1.9 lakh crore, he said.