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Do not allow bank financing for booking plots
Government should impose a total ban on direct or indirect finance on booking of plots advertised by any government-agency so that only genuine and needy applicants may book the plots by actually investing full booking-amount.
HARYANA URBAN Development Authority (HUDA) has invited applications for 3912 freehold plots in ten cities of Haryana. There is a heavy rush for application-forms resulting in ‘black-marketing’ of rupees-100 priced application-forms.

But this rush is not of genuine and needy buyers. Rush for applying plots is because of desire to sell plots at premium on being allotted and most of such non-genuine applicants emerge because some banks are providing cent-per cent finance on booking-money. Only stake for applicants applying through finance-booking is interest-loss on booking-amounts for some months which applicants take as some lottery-amount in hope to get huge premium in case of allotment of plots.

Government should impose a total ban on direct or indirect finance on booking of plots advertised by any government-agency so that only genuine and needy applicants may book the plots by actually investing full booking-amount. Rather easy finance should be made available to first allottees on being allotted such plots.


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COMMENTS (1)
.The floor area occupancy ratio (vis-a-vis built up area) in India, at the moment is abysmally low, compared to other developed and developing countries. The developing countries. The question is do we need a spread of development vertically or horizontally. For a large populated country like ours where owning a house is considered to be a premium and therefore few players in the construction industry are enjoying the monopoly status, restricting construction of a house beyond a certain floors is inappropriate. Multistoried buildings in an orderly development is the need of the hour for catering to the huge demand on the housing front. Again, simplying applying for a plot and holding it without undertaking any concrete construction on it simply for capital appreciation should be strongly discouraged. Within a stipulated time, construction activity should begin and end. Meanwhile, government should ensure a well laid out infrastructure plan is in place for catering to the various demands of the residential dwellers, once there are in. I suppose, the progressive Government of HuDA has taken all these into consideration. It should be Government's aim to discourage people from becoming hoarders by grabbing land whenever opportunity arises, rather genuine stakeholders should be encouraged to step in to make available affordable good quality housing projects in big numbers for the masses.
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