This Diwali, the real estate market is unlikely to rise as last year. However, developers are doing their best to ensure that buyers invest in their projects. Developers are hopeful that they will get good benefits in the festive season this year. Despite good offers, buyers are not visible in the market. This has led to a recession in the market at the moment.
Developers have started tie-up with banks: Like the previous year, developers have also tie-up with banks this time too. Looking at the festive season, the banks and NBFCs have many offers on home loans. But even then there is no boom of any kind in the market.
These are the causes of slowness in the market: Due to the reasons for which there is a slowdown in the market, it has been the main reason that developers have not fulfilled the old pending projects. There are still lawsuits against several prominent developers from the Supreme Court to the High Court and the District Court. After this, the demonetisation, the implementation of the Rera law has emerged as the second biggest reason. However, in order to complete the new project under Rare, the timeline has already remained. The third reason is GST, which has led to a slight jump in prices.
Growth is visible in affordable Housing: This segment is seeing growth in the announcement of Prime Minister Modi’s subsidy subsidy on the loan to force the affordable Housing last year. Pradeep Agrawal, Chairman, Signature Global said that the highest growth in this season will be seen in this segment as the market has improved again. Home loan rates are lower compared to last year and this subsidy is getting cheaper due to the subsidy in this segment. Agarwal expects that most buyers will be seen in the Arfodeable Housing. We will be able to see a fairly good season this year over the past several years.
Good effect from the RERA: Gaursons’s chairman Manoj Gaur said that due to the arrival of Rera, good effect is seen in the market. This gives investors a good environment to look at. At present, a large number of buyers are coming to inquire and are willing to buy the house.