The year 2017 had been an action-packed one, not just for real estate but for the entire nation. Many new reforms were introduced in the real estate sector also which are now showing positive results.
RERA was implemented in the country last year in May whose main function was to bring transparency and accountability in the sector. With the act being implemented in the country, the sector is showing signs of revival. GST has replaced the multiple taxes levied by the central and state governments and has subsumed of all the indirect taxes. GST has also brought in the positive sentiments to the fraternity.
“Reforms are making the market buyer-friendly and are further attracting global investors to consider India as one of the preferred destinations for real estate investments. Ready-to-move-in properties have remained a preferred choice for home-buyers across the country and have managed to command around 3.7% premium over properties under construction, Magicbricks has reported,” Rahul Singla, Director of Mapsko Group, said.
In the 2017 budget, infrastructure status was given to the affordable segment which was a boon to it. In this year budget, the targets for construction of houses under the Pradhan Mantri Awas Yojana (PMAY) for 2018-19 were also outlined, which will work in favour of the real estate sector.
“Union budget 2018-19 has given a major push to the ‘Housing for all’ schemes under which 1 crore house are slated to be built by 2019. After RERA, the Indian real estate market has become a buyers’ market. With an objective of boosting the supply of rural housing and augmenting the supply of affordable houses in urban areas, the government has said that 3.7 million houses will be built in urban areas and 5.1 million houses in rural areas in 2018-19. This will induce more developers to launch new projects and complete existing ones. Thus, 2018 will definitely be the year of home buyers;” Gaurav Mittal, MD of CHD Developers Ltd. says.
“Reforms like RERA and GST, as well as infrastructure status to affordable housing, have revived consumer sentiment to a great extent and have also helped the sector to tread on the path of revival,” Yash Miglani, MD of Migsun, said.
With the improved environment, the real estate is attracting investors across the globe and days are not far when the real estate sector will become number one in the entire world.