Centre to launch rental housing scheme soon

To address accommodation problems faced by urban poor, mainly migrants from rural areas, the Centre is set to roll out a rental housing scheme soon.

The policy is aimed at providing temporary shelters like dormitories, one room accommodation to migrants and homeless people for short period till they acquire their own houses in cities. The very idea of the scheme is to prevent mushrooming of slums that have so long provided informal housing to those who cannot afford to buy or rent homes.

“The government has put out the policy details on the Ministry of Housing and Poverty Alleviation website for feedback from stakeholders. Soon, it will be sent to the cabinet for its approval,” Rajiv Ranjan Mishra, Joint Secretary, Ministry of Housing & Urban Poverty Alleviation (HUPA Ministry) told Deccan Herald on the sidelines of Realty 2015, event organised by Confederation of Indian Industries (CII) here on Friday.

The NDA government recently launched Housing for All scheme to provide shelter to all by 2022 in the country. Though earlier the government had planned to club rental housing policy with Housing for All scheme. Later, it was decided to launch the scheme separately.

As per the proposal, the Ministry of Housing and Poverty Alleviation will provide 75 per cent of the construction cost of rental units while remaining 25 per cent were to be borne by states, urban local bodies and non-government organisations. 

“The rental housing could be in the form of dormitories for migrant labour or 300 sq feet rooms in case of families. These shelters were to be vacated within five years by which time migrants were expected to buy their own home or rent one at market rates,” said the official. However, the five-year tenure will not be applicable for destitute and homeless populations.

On pilot basis, the project is expected to be implemented in Delhi before it will be implemented in other cities.