2017 has been a topsy-turvy year for Indian Real Estate owing to the historical moves of Demonetization and implementation of GST and RERA. Where Demonetization and GST have taken aback the overall Indian economy for a while, RERA has also slowed down the Indian Real estate for a while. However, shortly after New Year celebrations of 2018, the markets are real estate sector have started stabilizing. In this year many policies and market trends have boosted the Indian real estate. Easy loan policies and raised purchasing power is showing a positive trend in the buying and selling of Property in India. To know the details read further to know Why 2018 has been promising for Indian Real estate?
Property Acts and Policies
Indian government implemented the Real Estate Regulations (and Development) Act last year and every state has established its regulatory authority to safeguard the interests of the buyers. Other than RERA, the Benami Property Act, and the new tax law GST would also be boon for the property buyers. These property acts and policies by the Indian government would add transparency to the entire buying process. In 2018, the buyers can be more relieved from any type of unscrupulous activities by the builders and developers or cascading of taxes or double taxation on their property purchase due to these policies. Builders and developers would also focus more on getting consumer satisfaction and offer flexible pricing and payment structures to boost the buyer trust in the Indian real estate market once again.
FDI, A Sign for Higher capital Inflow
India’s rank, according to a report by the United Nations Conference for Trade and Development, was fourth in terms of the FDI inflow. The FDI inflow in real estate of India was around US$ 34 million in the year 2016. With the implementation of a standard tax rule, i.e., Goods and Services Tax, the foreign investment in Indian real estate is predicted to increase significantly. Apart from that, the launch of REITs (Real Estate Investment Trusts) is making investment and transactions in Indian real estate more transparent. This would encourage the non-resident Indians (NRIs) and global investors to invest their money in Indian real estate, thus making the country’s real estate more promising this year.
A house for everyone, affordable housing
With the dream of providing housing to all on India’s 75th Independence day, the Prime Minister of India, Shri Narendra Modi, launched the Affordable Housing For All By 2022 in the year 2014. To ensure the successful completion of this mission,he launched the Pradhan Mantri Awas Yojana that is offering financial assistance to millions of economically weaker Indian in buying a roof over their head. The rebate on home loan interest rate and lower interest rates are ensuring that people are able to buy their dream home without any financial problem. Not just that government projects, a number of private companies, builders and developers in India are focussing their attention on affordable housing projects to help the country realize its dream as well as meet their targets.
Apart from these three major steps making Indian real estate more promising in 2018, there are a number of other steps like the smart city projects and the growth of Tier II cities, joint ventures and collaboration of hotshot builders and developers with smaller ones to clear inventory, increased interest in niche real estate sectors, etc., are some of the other factors that guarantee a brighter real estate market in 2018.
All this has made 2018 as one of the most promising years for 2018 and these factors are all set to continue the positive trends in Indian real estate. Indian real estate is projected to grow at the rate of 30 percent over the next decade. Now, this is the time and this is the sector to invest your hard earned money. Start browsing real estate India to buy and sell properties in India.