Ground breaking developments such as Demonetization, RERA and GST as some kind of tsunami waves for the industry, some also believe that all this will eventually improvise the market specially considering ‘Housing for All’ and ‘Affordable Housing’ projects for the industry.
The recent one year has been extremely action packed for the real estate vertical. While industry stakeholders and real estate analysts are considering some ground breaking developments such as demonetization, RERA and GST as some kind of tsunami waves for the industry, some experts also believe that all this will eventually improvise the market specially considering Housing for All and affordable housing projects for the industry.
“Demonetization, RERA and GST have taken a toll on the ability of the real estate sector to sustain investment and growth. It’s time for a healing touch to the sector inalienably tied to housing for all by 2022,” says Jaxay Shah, President, CREDAI National while expressing his expectations from the Finance Minister with regards to the Union Budget 2018, “The Union Budget 2018-19 will be the last test for the Government on its promise of development. The real estate sector has borne the brunt of reforms.”
Shah also added, “We expect deep concessions in income tax for home buyers earning at least Rs. 5 lakh per annum.”
However, housing is a basic necessity and yet subject to both GST at 18 per cent and stamp duty of 8 per cent. There is a case to bring GST in line with other merit goods.
Lastly, Affordable Housing segment must be allowed the full benefit of infrastructure status by providing appropriate means for land financing to private developers.
“The real estate sector now needs an immediate push in the best interest of all stakeholders to continue the upward trajectory of growth and development,” concluded Jaxay Shah.