International Research Journal of Engineering and Technology (IRJET) e-ISSN:2395-0056
Volume:13Issue:01|Jan2026 www.irjet.net p-ISSN:2395-0072
Affordable Housing Scenarios in India: Implementation & Challenges
Mahima Chawla1 , Ar. Vaibhav Kulshrestha2
1Master of Urban and Regional Planning Faculty of Architecture and Planning, Dr. A.P.J Abdul Kalam Technical University Lucknow, India, 2Senior Assistant Professor, Faculty of Architecture and Planning, Dr. A.P.J Abdul Kalam Technical University, Lucknow, India.
Abstract - Affordable housing has emerged as one of the most critical challenges of urban development in India due to rapid urbanisation, population growth, andlarge-scalerural–urban migration. Despite the implementation of several national housing policies and schemessuchasPradhanMantri
Awas Yojana–Urban (PMAY-U), Affordable Rental Housing Complexes (ARHCs), and the recently launched PMAY–Urban 2.0, a substantial shortage of affordable housing for Economically WeakerSections(EWS)andLow-IncomeGroups (LIG) continues to persist in Indian cities.
This paper aims to examine the concept of affordable housing in India, analyze its implementation through policy frameworks and schemes, and identify the key challenges affecting effective delivery. The study is based on qualitative and analytical assessment using secondary data sources such as government reports, policy documents, and published literature. Two case studies In-Situ Slum Redevelopment (ISSR) in AhmedabadandSlumRehabilitationAuthority(SRA) housing in Mumbai are analyzed to understand on-ground implementation outcomes from a planning perspective.
The findings reveal that affordablehousingchallengesinIndia are not limited to financial constraints but are deeply rooted in land availability, peripherallocationofprojects, inadequate planning integration, governance fragmentation, and limited institutional capacity of urban local bodies. The paper concludes that a planning-led, integrated approach linking housing with land use planning, transport systems, and urban infrastructure is essential to achieve sustainable andinclusive affordable housing delivery in Indian cities.
Key Words: Affordable Housing, PMAY-U, Urban Planning, Housing Policy, Slum Redevelopment, Governance,Indiancities
1. INTRODUCTION
Affordable housing is a fundamental requirement for inclusive urban development. In India, rapid urbanisation and economic transformation have significantly increased housing demand in cities, particularly among low-income groups. As per national estimates, India faces an urban housingshortageofover10millionunits,withnearlyhalfof this shortage concentrated among Economically Weaker Sections(EWS).
Despite continuous policy interventions, the gap between housingdemandandsupplyremainssubstantial.Affordable housing in India has largely been addressed through scheme-basedapproachesfocusingonunitdeliveryrather thanintegratedurbanplanning.Asaresult,manyhousing projects suffer from poor location efficiency, inadequate infrastructure, and limited access to employment and services.
This study examines affordable housing from a planning perspective to understand why shortages persist despite strong policy frameworks and increasing financial allocations.
2. CONCEPT OF AFFORDABLE HOUSING
Affordable housing generally refers to housing that a householdcanaffordwithoutcompromisingexpenditureon other basic needs such as food, healthcare, education, and transport.InternationalagenciessuchasUN-Habitatdefine housingasaffordablewhenhousingcostsdonotexceed30–40%ofhouseholdincome.
However,affordabilityextendsbeyondunitcost.Housingthat is poorly located, inadequately serviced, or disconnected from employment centres increases indirect costs and reducesoverallaffordability.IntheIndiancontext,affordable housing is defined through income categories (EWS, LIG, MIG),unitsizenorms,andcostceilingsundergovernment schemes. These definitions, while administratively useful, often fail to capture spatial and planning dimensions of affordability.
From a planning perspective, affordable housing must be understoodas“housingplusservicesplusconnectivity”.
3. AFFORDABLE HOUSING POLICIES AND IMPLEMENTATION IN INDIA
India’s affordable housing framework has evolved from welfare-based housing provision to mission-mode, partnership-drivenapproaches.TheNationalUrbanHousing and Habitat Policy (NUHHP), 2007 provided a vision for inclusive housing but lacked strong implementation mechanisms.
International Research Journal of Engineering and Technology (IRJET) e-ISSN:2395-0056
Volume:13Issue:01|Jan2026 www.irjet.net
ThelaunchofPMAY–Urbanin2015markedasignificant shift towards time-bound, target-driven housing delivery throughfourverticals:In-SituSlumRedevelopment(ISSR), Affordable Housing in Partnership (AHP), Beneficiary-Led Construction (BLC), and Credit Linked Subsidy Scheme (CLSS). While PMAY-U achieved substantial numerical progress, several issues related to location, quality, and planningintegrationremain
Affordable Rental Housing Complexes (ARHCs) were introduced to address migrant housing needs; however, implementationhasbeenlimitedduetoownership-centric housingcultureandweakrentalregulations.PMAY–Urban 2.0attemptstoaddressthesegapsbyemphasizinghousing quality,sustainability,andconvergencewithurbanplanning.
4. CASE STUDY ANALYSIS
4.1In-SituSlumRedevelopment(ISSR),Ahmedabad
The ISSR model in Ahmedabad focused on redeveloping slums at the same location using land as a resource. ImplementedbyAhmedabadMunicipalCorporationunder PMAY-U, this approach ensured minimal displacement, livelihood continuity, and higher beneficiary acceptance. While the model improved housing quality and tenure security,challengesrelatedtoincreaseddensity,limitedopen spaces,andpost-occupancymaintenancewereobserved.
4.2 Slum Rehabilitation Authority (SRA), Mumbai
Mumbai’s SRA model is a developer-led, market-driven approachusingTransferableDevelopmentRights(TDR)and highFloorSpaceIndex(FSI)asincentives.Themodelenabled large-scale rehabilitation in land-scarce conditions with limited public expenditure. However, extremely high densities,qualityconcerns,limitedcommunityparticipation, andinfrastructurestressremainmajorchallenges.
Acomparisonofthetwocaseshighlightsthatplanning-led, sociallyinclusiveapproachesperformbetterintermsoflongtermsustainabilitythanpurelymarket-drivenmodels.
Table-1: ComparativeCaseStudyTable:Affordable HousingInitiativesinIndia
Parameter ISSR – Ahmedabad (PMAY–Urban)
City Context Rapidly growing metropolitan city with priorexperienceinslum improvement (SNP, BSUP)
Policy Framework Implemented under PMAY–Urban (In-Situ Slum Redevelopment vertical)
Implementing Agency Ahmedabad Municipal Corporation(AMC)
p-ISSN:2395-0072
Slum Rehabilitation Authority (SRA), Government of Maharashtra
Approach Public-sector led, planning-oriented redevelopment Developer-led, market-driven redevelopment
Land Strategy Land as a resource for on-siterehabilitation
Housing Typology Low-rise to mid-rise apartments(G+3/G+4)
Target Beneficiaries
Location Efficiency
Land value leveraged through FSI and TDR incentives
High-rise residential towers
Slum dwellers (EWS households) Slumdwellerseligible undercut-offdate
High – beneficiaries retained at original location
Livelihood Impact Minimal disruption due toin-situredevelopment
Moderate – central locationsretainedbut withveryhighdensity
Mixed impact due to vertical living and relocation during construction
Private Sector Role Limited/supportiverole Dominant role in planning and execution
Community Participation
Infrastructure Provision
Open Spaces & Liveability
Housing Quality
Moderate – mainly during beneficiary identification
Basic services provided, limited social infrastructure
Limitedopenspacesdue toincreaseddensity
Improved structural quality compared to slums
Tenure Security Legal ownership/occupancy rightsprovided
Scale of Delivery
SRA – Mumbai (Slum Rehabilitation Scheme)
Extremelyland-scarce megacity with very high land and real estatevalues
Implemented under Maharashtra Slum RehabilitationScheme
Key Strengths
Key Challenges
Overall Planning Outcome
Limited – consentbased but developer controlled
High pressure on existinginfrastructure
Very limited open spaces, high congestion
Quality varies; maintenance issues reported
Free ownership units provided
Moderate scale, socially inclusive Large-scale delivery due to market incentives
Social inclusion, livelihood continuity, betteracceptance
High density, limited open space, postoccupancymaintenance
More planning-aligned andsociallysustainable
Ability to deliver housing at scale with limitedpublicfunding
Overcrowding, liveability issues, weak post-occupancy management
Efficient in scale but weaker in liveability andgovernance
International Research Journal of Engineering and Technology (IRJET) e-ISSN:2395-0056
Volume:13Issue:01|Jan2026 www.irjet.net p-ISSN:2395-0072
5. KEY CHALLENGES IN AFFORDABLE HOUSING DELIVERY
The study identifies several structural challenges affecting affordablehousingdeliveryinIndia:
Scarcity of well-located urban land leading to peripheralhousingdevelopment
Risingconstructioncostsanddecliningprivatesector participation
Limited access to formal housing finance for informal-sectorhouseholds
Weak integration of housing projects with master plansandtransportnetworks
Fragmented governance and limited capacity of urbanlocalbodies
Poorpost-occupancymanagementandmaintenance
Thesechallengesindicateasignificantgapbetweenpolicy intentandspatialoutcomes.
6. CONCLUSIONS
Affordable housing in India remains a complex urban challenge influenced by planning, land, financial, and governance factors. While national housing schemes have improved housing supply numerically, qualitative and spatial issues persist. The study concludes that affordable housingcannotbeaddressedthroughschemesalone.
A planning-ledapproach,integratinghousingwithlanduse planning, transport systems, social infrastructure, and governance reforms, is essential for achieving sustainable andinclusivehousingoutcomes.Strengtheningurbanlocal body capacity, promoting location-efficient housing, and encouragingintegratedplanningframeworksarecriticalfor thefutureofaffordablehousinginIndiancities.
ACKNOWLEDGEMENT
Isincerelyacknowledgetheguidanceandacademicsupport provided by Ar. Vaibhav Kulshrestha, Senior Assistant Professor, and the faculty members of the Department of ArchitectureandPlanning,Dr.A.P.J.AbdulKalamTechnical University,Lucknow,aswellasthedissertationcoordinators Ar.GauravSinghandAr.DeeptiSagar.Iamgratefulfortheir valuable suggestions, continuous encouragement, and supportthroughoutthecourseofthisstudy.
I also express my sincere gratitude to all researchers and institutionswhosepublishedliterature,policydocuments, and planning reports contributed significantly to the developmentofthisresearch.
REFERENCES
[1] MinistryofHousingandUrbanAffairs(MoHUA), PMAY–Urban Guidelines,GovernmentofIndia.
[2] UN-Habitat, Housing at the Centre of the New Urban Agenda,2020.
[3] KnightFrankIndia, Affordable Housing Report,2024.
[4] ReserveBankofIndia, Housing Finance Trends,2023.