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



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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.

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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.

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



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© 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

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From industry status to 100{ac967ad544075fb2f6bcea1234f8d91da186cac15e616dc329e302b7c7326b8c} FDI in completed residential projects, here’s what real estate wants



a large building: Developers are also looking for more fund for the sector under SWAMIH so that stalled projects could be completed on a priority basis.


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Developers are also looking for more fund for the sector under SWAMIH so that stalled projects could be completed on a priority basis.

Indian Union Budget 2021-22: With the Union Budget 2021 round the corner, there are expectations galore that the government will do its best to help revive the sectors and industries which have been hit hard by the Covid-19 pandemic. No wonder, real estate is also betting big on this year’s budget for revival of fortunes.

According to industry experts, apart from making necessary interventions through fiscal support, liquidity infusion as well as reform-driven investments in the initial leg of relief measures, both the government and the RBI have in recent months rolled out other critical measures like loan moratorium, one-time restructuring of corporate and personal loans, among others to help the sector.

“These measures and concessions have definitely helped in enhancing consumer sentiment, thus boosting consumption, resulting in increased traction in the real estate sector. However, while we have seen a continuance of recovery in the fourth quarter which started in Q3 2020, the actual market transaction volumes continue to be lower compared to the pre-Covid levels,” says Ramesh Nair, CEO

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Accord infrastructure status to real estate sector



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


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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

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