Has housing become prohibitively expensive in Indian cities?, Pg9

Key Highlights:

• Housing in Indian cities has become prohibitively expensive, with a 2BHK flat in cities like Patna costing over ₹1 crore.
• The real estate-led model of urban development is a key factor, with housing functioning as a financial asset rather than a social good.
• Experts suggest land policy reforms, including taxation on vacant properties and inclusionary zoning, to address the crisis.
• The NITI Aayog's view of land as a revenue-generating asset is criticized for overlooking the fundamental purpose of city planning.
• Affordable rental housing in favorable locations is suggested as a solution, drawing inspiration from the Singapore model.

Detailed Insights:

• The rising cost of housing is attributed to urban policies and land management, where land is acquired cheaply and sold at high prices after city growth.
• Friedrich Engels' observations on shelter being transformed into a commodity are amplified by financialization, land monopolies, and state retreat.
• Lakhs of vacant houses coexist with overcrowded slums due to land hoarding and housing supplies calibrated to purchasing power, not need.
• Unaffordable housing leads to urban insecurity, forcing families to postpone education and healthcare, and migrants remain unregistered and politically voiceless.
• Housing exclusion fractures the idea of urban citizenship, leading to ghettoization and segregation of marginalized sections like Dalits and Muslims.
• Inverse taxation on unoccupied houses and inclusionary zoning are recommended to mobilize vacant housing and curb speculation.
• Transit solutions are viable only if alternative locations have social amenities for a well-rounded life; otherwise, new housing supply worsens exclusion.
• The Dutch example of designating a section as social housing in every development is cited as a way to integrate the population below the median income level.

Key Concepts Involved:

• Floor Area Ratio (FAR): The ratio of a building's total floor area to the size of the land upon which it is built.
• Inclusionary Zoning: Zoning regulations that create affordable housing opportunities in new developments.
• Spatial Justice: The fair and equitable distribution of resources and opportunities in urban spaces.