Does Affordable Housing means a compromised deal in terms of quality!

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Realty Myths Home Forums Public Forum Does Affordable Housing means a compromised deal in terms of quality!

This topic contains 6 replies, has 3 voices, and was last updated by  Saket Pathak 10 months, 2 weeks ago.

Viewing 7 posts - 1 through 7 (of 7 total)
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  • #136771

    Santosh Sinha
    Participant

    Since the time government has awarded infrastructure status to the affordable housing segment, many players have announced their affordable housing projects, pan India. This has led to a healthy competition, allowing buyers to negotiate for the price. However, there is already a very low margin in affordable housing, with forced decreased in the price due to the competition, will the developers not compromise with the quality of construction to survive into the market!

    How can a buyer keep a check on the construction quality of his affordable housing society without losing the cost benefits?

    #136777

    Saket Pathak
    Participant

    I guess you are sharing and analyzing one part of the market and trying to analyze the facts. Under Affordable housing scheme, the govt. is providing lands on subsidized rates and the builders are getting more FSI for construction. Also, the count of amenities compared to other ongoing regular societies, The govt. has created a limited set of it which can be built on low cost. Yes! Your concern is well taken, if the builder doesn’t shift to modern technology and doesn’t build houses on time then they have to compromise on the quality of construction. Also, the builders should assess the demands before they launch affordable housing projects in a specific location. Overdoing may reduce the chances of sales which may in tune increases the time duration for sales which impacts the delivery time to complete the projects. There are many builders, such as Signature Global, Supertech, Omax and countless new builders who registered themselves under Affordable category and in past three years we have seen the announcement of over 20 to 25 projects. As per the market reports, selling of these affordable properties got a major hit due to over-supply. All these things make the entire concept as a bad experience for end users.
    Although, it will be little early to talk about these things as the delivery of most of the affordable housing project will start from Mid June’18 and then we can analyze their construction, and talk about the delivery of the projects.

    #136798

    Ritesh Mathur
    Participant

    I somehow agree with the fact that yes government has provided some facilities to builders to come up with the projects under Affordable Housing Policy but, I do doubt the quality of construction. Yes, modern technologies do allow builders to deliver the project in time with faster speed but, using these technology will only be viable if the builder launches at least 4-5 projects in quick succession else the cost involved in installing such technologies will only increase cost. Also, it would have been better if the government policy would have had put in a check on the quality of construction.

    Let’s wait & watch the projects quality in the times to come. Although, some of the affordable projects are lined up for delivery post mid 2018 but, we have to understand that the mettle can only be checked once the project has survived for more than 4-5 years after construction as everything which glitters is not gold.

    #136799

    Santosh Sinha
    Participant

    Who doesn’t know about the quality of construction of all the DDA projects in recent times. It is evident from the very first day. I think, by the virtue of the definition, these projects also come under the Affordable Housing schemes. I hope, after this infrastructure status, the DDA also fall in line and develop some good and livable projects. Let’s see!

    #136816

    Saket Pathak
    Participant

    You may be right Santosh. The only difference is here you can be held someone responsible for the quality of construction, whereas, in the case of DDA, everyone can shift the Barron to someone else’s head.:)

    Jokes apart, there are two types of builders available under affordable housing scheme. One with few lands available to them and registered under the scheme. Their idea is to sell and built the property to earn some quick money. Then the other category of builders, who are consistently working under the scheme and trying to play in volume. They would surely count on better construction to earn customer’s faith for their upcoming projects. The only fear is over speeding and demand graph may halt their way if they don’t assess the correct demand graph.

    #136873

    Santosh Sinha
    Participant

    Still, I feel there is a need for a system through which one can crosscheck the construction quality of one’s projects. This system could be owned and governed by the government and its various authorities or could be run by the developer himself, in cooperation with his customers. In fact, there can be an App which would take a note of each and every development happening at the site. It could also monitor the quality and quantity of the raw materials being consumed at the site. A developer can own this App where he can add his each and every customer. This way he is keeping an eye on the quality of construction, at the same time he is also infusing faith among his customers by bringing in the transparency.

    This App can work as an installment reminder as well in the construction linked payment plans. Just a thought!

    #136925

    Saket Pathak
    Participant

    App is not a solution Santosh. Via app one can show that the construction is happening. but the quality of construction of a society depends on various factors including the society planning, electricity, plumbing, Sewage, Parking arrangements, Foreseeing the leakage points. There are so many things a family faces post living in the flat which a planner should know and should be competent enough to gauge all during the construction of the society. Saying and claiming maintenance free society doesn’t mean anything if not severed well. So, as Ritesh pointed out well that the actual things can only come when people will start living in these societies and after 2 to 3 years time one can assess the final quality of construction.

    Yes to gain customer’s faith a company can actually create an app in consultation with architect where one can list all the work module and how the project is getting completed can be tracked online. Hope this clarifies my stand on the subject.

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