For middle-class people, owning a home still feels like a dream come true. With the budget approaching, people have many expectations from this year's budget...

Will the middle-class dream of home ownership become easier? Here are the expectations from the Finance Minister, learn the details.

Budget 2026: For middle-class people, owning a home still feels like a dream come true. Home prices are skyrocketing, and rising interest rates are also a concern. With the budget approaching, people will have many expectations from this year's budget.

Especially for families planning to buy a home for the first time, and the real estate sector. According to a report published in Moneycontrol Hindi, Pradeep Mishra, founder and expert of Oram Group, discussed expectations for the upcoming budget. Let's explore what changes Budget 2026 could bring to the real estate sector.

1. Expected changes in the definition of affordable housing  

Homes costing up to ₹45 lakh are still considered "affordable housing." However, the ground reality in major cities is different. In areas like Delhi-NCR and Mumbai, finding a home within this budget has become nearly impossible.

For this reason, the price limit for affordable housing is expected to be raised from ₹75 lakh to ₹1 crore. If this change is implemented, most homes will fall into this category, allowing people to benefit from lower interest rates and government subsidies. 

2. Expectations regarding tax exemption

Buying a home is no longer as easy as it once was, especially with property prices continuing to rise. Consequently, the tax benefits available on home loans are falling short. Currently, the maximum deduction on home loan interest is up to Rs 2 lakh under Section 24(b) of the Income Tax Act.

In such circumstances, the middle class is hoping for an increase in this limit to ₹400,000 to ₹500,000. Experts believe this will leave the middle class with more spending money and allow them to make larger home loan decisions with greater confidence.

3. GST on under-construction properties expected to improve

The GST rate on under-construction properties is expected to be revised. Home prices are already high, leading to calls for changes to the GST system to make rates more reasonable and reintroduce input tax credit (ITC).

If builders are able to avail the ITC benefit, construction costs could come down, directly impacting home prices, thereby providing relief to the end buyer.