New Delhi, July 23, 2019: Mr. Gulam Zia, Executive Director– Valuation & Advisory, Retail & Hospitality, Knight Frank India, said, “Subvention schemes are offered by reputed and A-grade developers on whom financial lenders had enough confidence. About 10% to 12% of home loan market in top 8 cities were subvention schemes. HFCs and NBFCs were offering it while they were under NHB as a regulator but banks couldn’t do it. Now RBI, the new regulator, has cracked the whip to make it a level playing field for all. It was one of the most important schemes used by developers to induce purchase by homebuyers for under construction properties, in the absence of subvention scheme the transaction volumes may come down in metro cities. In recent times, the subvention schemes were extended to even ready properties wherever unsold inventory was piling up. The new ruling will make a dent on this side of market as well”.
Corporate Comm India (CCI Newswire)
