Mr. Suresh Hari, Secretary, CREDAI Bengaluru
Since demonetization, the Industry is expecting a greater level of facilities and impetus to the Real Estate.
The announced incentives to Affordable and low cost housing is the beginning.
The expected Industry tag to the sector is a long sought after demand and will improve better financial inflow and management.
Income tax exemption for affordable and dwellings of particular size will ensure that greater reach for demanding home buyers.
Better borrowing terms for real estate industry from commercial banks is a pending demand. Since the Habitat Policy envisages housing for all by 2022, this approach will enable cost of finance considerably comfortable.
Rationalization of plethora of Labor laws, which the Industry faces.
With GST regime kicking in , better tax administration is expected and more incentives for the sector from local governments is sought.
With RERA being implemented, the customer issue of home buyers is well taken care of. The government need to address real estate industry with the better tax rates due to increased cost on account of RERA impacted cost .
Mr. Cyriac Joseph, Sr. Vice President Marketing, VAISHNAVI Group
Lending rate of interest for affordable housing segment (under 50 lakhs) to be around 7%. For the other segments, the rate to be around sub 8%
IT exemption for housing loans to move up from 1.5 lakhs to 2 lakhs
In the non-metro areas, built up area for affordable housing segment to be taken up from 60 sqm to 90 sqm (plinth area)
Financial institutions to extend the maximum tenure of loan repayment from 20 years to 25 years
Triggers that could bring the momentum back to the industry:
Lower bank interest rates
Tax sops to the buyers
Single window clearance for developers
Fast track clearance process