These trends are sure to change the real estate market in the year 2017 and beyond. Global capital flow into the real estate market is on the rise and will increase consistently. India is in the fourth position in developing Asia for FDI inflows as per the world investment report 2016 by United Nation’s Conference on Trade and Development, and that is the highest levels of endorsement. Indian real estate has managed to attract $32 Billion in private equity till date.
The builders and developers are likely to change their business models completely – throughout the year 2016, the number of new constructions in Thane were much lower the units sold. Almost all the states were keen to see the launch of RERA, and now all of them will surely fall in line. The RERA happens to be a landmark law and will surely enforce the much-needed transparency and accountability on the part of the builders, and the home buyers will definitely benefit from it.
Not just RERA, there are other acts and bills passed that will directly impact the Real Estate sector. For instance the Goods and services tax(GST) and the Benaami Property Act. Residential demand os expected to pick up only towards the end of 2017. All of these new reforms are certain to affect the realty business of flats in Thane west.
The sun also seems to be rising on affordable housing finally! – Affordable housing in the country is finally set to get the much-needed infrastructure status. Until the year 2019, one crore houses are to be built in rural India and this vital sphere will also witness cheaper sources of finance that include the external and commercial borrowings. The housing loans too, are being remodelled by the national housing banks which can again give a lot of boost to the real estate sector. Much before the budget 2017-18, a new credit linked subsidy scheme was announced for the middle-income group with a provision of Rs 1000 crore in 2017-18. The tenure of the loan repayment was extended from 15 to 20 years under the Pradhan Mantri Awas Yojana and the budget that was allocated under the PMAy scheme also increased from Rs 15000 crore to Rs 23000 crore for rural areas.
The affordable housing had some qualifying criteria and these to were revised to 30 square meters and 60 square meters on the carpet instead of the saleable area in the four main metros and non- metros respectively. This actually tends the size of the affordable housing market, all throughout India.
With all these changes that are almost implemented and some of which are yet to be implemented, the sale of flats in Thane west is surely geared in for a revolution like never before. Now we have just to wait and watch on the repercussions of them all.