Housing units worth Rs 4.64 lakh crore facing delays, says report

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Around 5.76 lakh housing units worth Rs 4.64 lakh crore are facing construction delays in seven major cities across the country for a variety of reasons that include financial constraints, dodgy activities of some developers, execution challenges, surplus supply and despite the implementation of the Real Estate (Regulation and Development) Act, according to a report by property consultant ANAROCK. Mumbai Metropolitan Region (MMR) and National Capital Region (NCR) are the two major regions where maximum units with significantly high values have been delayed since their launch in 2013 or before. As many as 4,10,000 units, worth Rs 3.6 lakh crore, across these two regions are grappling with some deployment issue or the other over the years, resulting in delayed possession. While MMR has 2,10,000 units worth Rs 2,34,000 crore that are stuck, the NCR has 2,00,000 units worth Rs 1,26,000 crore that are pending. ANAROCK65 lakh units worth nearly Rs 3.33 lakh crore were behind delivery schedule. The problem of delayed projects is massive and worrisome, ANAROCK chairman Anuj Puri said the government has, over the last few years, taken measures to bring in greater transparency and efficiency in this sector. The most profound impact of the housing delay is obviously on buyers who have already invested in these projects, affecting their overall financial planning, increasing the burden of rent along with equated monthly installments (EMIs), he said. Though Rera has provisions to ensure timely delivery of projects, but this law has been diluted in many states. In short, despite Rera, buyers are still at the mercy of the developer Abhay Upadhyay, president of pan-India home buyer Meanwhile, industry experts strongly disagree with the figures of delayed projects. According to industry bodies, there has been robust demand for ready-to-move-in projects and new launches in the last two quarters.