Real estate sector keen on infrastructure status, tax incentives for home buyers in union budget



graphical user interface, text, application


© Provided by Zee Business


The real estate sector, which took a hard hit due to COVID-19, is pinning hopes on the union budget to be presented on Monday for easing regulatory norms and for steps which will help in completion of pending projects and sale of build-up houses.

The sector has also been demanding infrastructure status. Apart from the sector suffering a sharp dip in sales due to COVID-19, there was also exodus of migrant labourers from cities which impacted execution of projects.

See Zee Business Live TV Streaming Below:

Developers said construction work had not picked up projects due to liquidity crisis.

Navin Raheja, Chairman, Raheja Developers, said the real estate sector is the driver of the economy and a boost to the sector will have trickle-down impact.

“People on average invest their one-third of their savings in real estate. The real estate sector is largely suffering due to over-regulation and incomplete projects that has led to delays and defaults. Though the government has put the system online, developers still need to approach 50 departments for approvals. This needs to be taken care of. There should be restructuring of the past loans to complete the projects,” he said.

Read More

Real estate sector keen on infrastructure status, tax incentives for home buyers



a large lawn in front of a house


© Provided by Zee News


New Delhi: The real estate sector, which took a hard hit due to COVID-19, is pinning hopes on the union budget to be presented on Monday for easing regulatory norms and for steps which will help in completion of pending projects and sale of build-up houses.

The sector has also been demanding infrastructure status. Apart from the sector suffering a sharp dip in sales due to COVID-19, there was also exodus of migrant labourers from cities which impacted execution of projects.

Developers said construction work had not picked up projects due to liquidity crisis. Navin Raheja, Chairman, Raheja Developers, said the real estate sector is the driver of the economy and a boost to the sector will have trickle-down impact. “People on average invest their one-third of their savings in real estate. The real estate sector is largely suffering due to over-regulation and incomplete projects that has led to delays and defaults. Though the government has put the system online, developers still need to approach 50 departments for approvals. This needs to be taken care of. There should be restructuring of the past loans to complete the projects,” he said.

R K Arora, Chairman Supertech

Read More

Accord infrastructure status to real estate sector



a view of a city: Budget 2021: Accord infrastructure status to real estate sector


© Vandana Ramnani
Budget 2021: Accord infrastructure status to real estate sector

Real estate sector is an important pillar for the economic growth and stability of the country.  It is the second largest employment provider and also supports various sub-sectors, such as steel, cement, infrastructure. Consequently, the government has undoubtedly taken measures to incentivise the sector. However, owing to the ever-changing landscape, the sector faces many challenges, such as lack of liquidity, delay in projects, unstable demand among others.

To add to the issues, COVID-19 related lockdown led to an unprecedented era for real estate sector. Apart from the policy initiatives, the industry expects that the upcoming Union Budget 2021 will address direct tax challenges to alleviate the stress surrounding the sector.

Granting the status of ‘infrastructure’ to the real estate sector has been an age-old ask of the industry. While the government has accorded the said status to affordable housing, expanding to all categories of assets in real estate will be welcomed. This will attract investments from large pockets of sovereign wealth funds /pension funds who have been granted tax exemption on income streams from ‘infrastructure’ investments.

With the land prices skyrocketing, Joint Development Agreements (‘JDAs’) have become a

Read More