New Delhi, Jan. 22 -- The National Real Estate Development Council (NAREDCO) has submitted a comprehensive set of recommendations to the Union Ministry of Finance aimed at revitalising the real estate sector and boosting homebuyer demand. A primary focus of the proposal is the significant enhancement of tax benefits for individuals. The apex body has called for the current Rs 2 lakh limit for interest deduction on home loans for owner-occupied houses to be raised to Rs 5 lakh or more. Additionally, NAREDCO suggested that interest deductions should be applicable from the year capital is borrowed and should cover the full extent of interest paid for at least one property.

To further ease the burden on homebuyers, the council recommended re...