New Delhi, January 03, 2018: The recently concluded year was a watershed period for Indian real estate due to implementation of game-changing policies such as the Real Estate (Regulation and Development) Act, 2016 (RERA) and the resulting need for realignment by all stakeholders to a brand new regulatory environment. Additionally, GST occupied bandwidth to set in place mechanisms for smooth adoption, while dealing with the impact of an increase in price for under construction projects even after passing on Input Tax Credit (ITC) benefits.
Recent months have witnessed sustained demand in end-user-driven markets and is now back to pre-demonetisation levels, while speculative buying, especially in the luxury segment, has declined sharply. Furthermore, there has been significant FDI equity inflow into construction development, an indicator of rising confidence in the sector and the India growth story.
As India’s real estate sector makes the transition towards increased transparency, structured and stakeholder-friendly marketplace, the forthcoming year – 2018 could well mark the beginning of a period of sustained revival for the sector. Regulated and organised realty is a healthy and sustainable asset class globally; in India, structural reforms and changes in FDI norms are making real estate increasingly attractive to domestic and foreign investors.
The awarding of vital ‘infrastructure’ status for affordable housing will show positive results in the months ahead. Additionally, we feel that the affordable housing segment will further strengthen its position as a key growth driver of the real estate sector during the forthcoming year since unit sales and launches will increasingly be dominated by the sub-50-lakh category.
Corporate Comm India(CCI Newswire)
