Real Estate News
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Housing for all e- Portal Launched
On January 14, 2020, the Secretary for Ministry of Housing and Urban Development, Durga Shanker Mishra, launched the website for the PMAY-U ‘HousingForAll.com’. The portal aims to make affordable projects with the occupancy certificate available to the general public. The Ministry hopes that this effort will help in boosting sales across the country. The housing portal will be running a 45 day All India Online Home Buying festival for the projects that are completed and are ready to move in. It is expected that around 1000 projects will be listed and will be up for sales during the fest. The builder will be able to list their affor...
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For Budget 2020 Government Invites Suggestions
For the upcoming Budget, the government of India asked the citizen to suggest what they expect from the Budget 2020. On their official website mygov, the government asked the citizens of the country to give their suggestions until January 20, 2020. Over 1.5 lac suggestions were posted on the website. We discuss the popular suggestions posted by the citizens of the country: Tax slab revision: Most citizens suggested that the income of up to Rs 10 lacs per annum should be made tax free. This will help in increasing the wealth formation at the lower end of the spectra as well as help in consumption and increasing the savings of the in...
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Expectations for Affordable Housing to Continue Flourishing in 2020
The Modi government has set up a goal ‘Housing for All by 2022’, and it is expected that in 2020, the trend to invest in affordable housing will continue making the sector flourish. Indian economy continues to the fastest growing economy in the world despite the international economic conditions and the fact that the current financial situation of the country has fallen from 5 percent to 4.5 percent. Understanding the growing concerns for the growth of the economy, the government has announced some measures like reduction in reduction in the corporate tax rate to 22 percent from 30 percent. The government has also announced th...
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Changes in the Insolvency Laws: Need of the Hour
On January 13, 2020, the highest court of India accepted the hearing of petitions filed by the homebuyers against the government’s move to introduce a provision to the insolvency case which makes it difficult for the homebuyers to get the resolution. On December 11, 2019, the Union Cabinet approved the amendments in Section 7 of Insolvency and Bankruptcy Code (IBC). The amendment states that it will require at least 10 percent of total homebuyers in a project or 100 of total allottees to initiate a corporate insolvency resolution process against the builder. This can make it difficult for small creditors to start the insolvency process...
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Save your Money Faster to Purchase a House in 2020
With the market sales being low and the buyers having a lot of option to choose from, it is indeed the right time for the potential homebuyers to invest in the property purchase. The banks are offering the lowest interest rates in the last five years, and the builders are also willing to negotiate the price to sell their unsold inventory. 2020 is a potentially good year for the homebuyers with the expectation that the banks will further reduce their interest rates to match up to the repo rates that the RBI reduced last year. Even though the banks are ready to fund almost 80 percent of the property purchase, the buyer has to pay the 20 ...
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Government’s Efforts are Expected to Bring a Change in India’s Reality Scene
India’s real estate has been witnessing a slow down for a while now. Even with the government’s measures and banks reducing their interest rates, the sector is yet to witness a surge in sales. Even the new projects launched by the builders under the new government measures have failed to grab the interest of the buyers. Real estate in the second-largest employment generating sector of the country and it is expected that the government will implement more rules in 2020 to boost the sector. 1. Implementation of stress fund: Recently, the government announced that they will fund the projects that have been stuck in the middle of the c...
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New Tax Return Form for the Join Property Owners
On January 3, 2020, the Central Board of Direct Taxes (CBDT) notified that the property owners who own the property jointly would not be able to file their tax returns using the Forms ITR-1 and ITR-4 starting from the assessment year 2020-21. This also applies to the taxpayers who pay Rs 1 lac as electricity bill and Ra 2 lacs or more on foreign travels. The board also notified that the ITR-1 form would not be available to the individuals who have deposited more than Rs 1 crore in bank accounts. The Income Tax department will soon release the new tax forms for the taxpayers that will be used in future. Returns in ITR-1 Sahaj can be fil...
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SBI: If Builders Delay a Project, Home Loan Applicants are Bound to get a Refund
Recently the State Bank of India (SBI) launched a scheme 'Residential Builder Finance with Buyer Guarantee scheme' for its home loan customers in which the bank guarantees the refund of the principal amount if a buyer fails to complete a project within the specified time. The scheme applies to those projects wherein SBI is the only lender. SBI Chairman Rajnish Kumar stated in media that this scheme would help in boosting the struggling real estate sector while improving the buyers' confidence in the market. These loans will be given on the same rate and borrowers can request for a refund if the builder fails to deliver the pr...
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Everything a Homebuyer can Expect in 2020
After a prolonged slowdown in the real estate market, it is expected that the new year and a new decade will bring positive changes in the real estate sector of the country. We discuss everything that a homebuyer can expect in 2020. Price correction: Even though the sales in the market have been slow, the prices of the properties haven’t seen any remarkable reduction. The overpriced or overvalued properties have seen some price correction, but apart from that, the price has more or less been the same. According to the reports, the prices of the properties have increased by 40 percent in some cities like Hyderabad. It is expected th...
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Performance Expectations from the Indian Real Estate in 2020
The previous decade has been a mix of highs and lows for the real estate. As we enter a new decade, there are expectations from the real estate of the country to revive after a prolonged slowdown in sales. However, some predictions can be made regarding the market and the sales in the sector. Property prices: Even though the real estate market has been seeing a lot of ups and downs, the costs of the properties have been more or less stagnant. The reason behind the same is that as the builders are struggling with less liquidity and limited funds, there is only a little window for the builders to reduce the price. Builders are relying on...
