The sun shining over the horizon, a river flowing by quietly, clouds dotted with birds and a pretty garden in front of a small house. This is how most of imagined our dream house when we were children and still most of the kids do.
However, in the real world, a house we live in is not what we dreamed of, it might be better or worse depending on the way we look at. But it’s undeniable that the Indian Real Estate Market has changed our lives.
Though the real estate market has been sluggish for two years, but the Real Estate Regulatory Bill in 2015 and the relaxation of the FDI laws has given a new way to grow the real estate market in India. Though there are some factors that may affect the Indian real estate positively.
The interest rates were cut by Reserve Bank of India by 50 basis points, in 2015. Also, many banks are cutting off the interest rates on the home loans, giving customers much ease to invest in the real estate market. The sales of properties will get affected because of these deductions when buyers will happily be sealing the deals.
The potential customers are being attracted by developers for years by providing easy payment plans for buying homes. They are doing this to provide benefits to the customers as well as themselves and also, to ease their large debts and piling inventories. These easy payment plans will drive buyers to invest in properties next year.
Real Estate Regulatory Bill
Whenever a new law or bill is enforced, real estate developers attempt to complete their existing projects instead of jumping on to newer ones because they always want to know how things change with the new bill or law. Thus, the developers will be focusing on finishing their existing projects for some more time with the Real Estate Regulatory Bill that has come up last year.
The property prices will not be coming down any further since it has already down by 15% in 2015. So, developers are drawing their attention to converting 2BHK into 1BHK with simpler amenities. If small apartments with required amenities will be available at an affordable price, then consumers and developers both will be happy.
With all these factors combined, if implemented correctly, then the real estate market will not have many numbers of unsold properties in India.