Real estate market in India is undergoing certain changes than and this will be going on in the future as well with the emergence or new legislation and new politics. In 2017, real estate market in India saw quite a few changes which were obvious to happen with expectations of new policies and changes in law. In 2017, the country saw the launch of RERA, which came as a savior for buyers in times when the cunning builders were trying to make profits out of buyer ignorance. RERA, or Real Estate Regulatory Act aims to get all dealers and properties registered under its ambit so that any fraud or any inconvenience being caused to buyers be identified and remedial actions taken. Since we’ve seen in the NCR area, properties are way behind time and buyers have been waiting for possession of properties they’ve paid for years ago. RERA aims to ensure that the properties are delivered on time and promises are being kept. In case of any delay, discrepancy, the act identifies penalties that can be imposed or remedial actions that have to be taken.
Apart from this, in 2017, real estate market in India also saw sudden demonetization leading to stagnation of transactions due to cash being involved in all of them. Although this led to fall in prices of properties, the inconvenience caused far outweighed the advantages. Also, the country saw the announcement of GST during the same time with its own set of impacts on the market, leaving investors curious as to what the eventual results will be.
The country entered into 2018 with a sense of stability in the market and with the markets showing trends of being one for the buyers. Due to the emergence of RERA, the builders are focusing more on completing the projects that haven’t been completed yet and then focusing on launching more projects. There is excess supply in the real estate market and less consumers which means the consumers have the power to bargain and grab the best deals. Also, the interest rates are moderate so far which is another good indication for buyers worrying about funding for their purchase. Again, all these factors are predicted and any decision made should be given proper consideration and should be subjected to expert advice so as to mitigate any risk of mistakes. The government is in its full swing mode of providing affordable housing to people which should be closely monitored especially by investors. The government is expecting good amount of private equity fund flow in the country. The Government has already decided on increasing carpet areas to 120 sq. m and 150 sq. m for MIG-I and MIG-II categories. An interest subsidy of 4% will also work as a major catalyst for sellers and buyers of real estate. There will be changes in real estate pattern in various cities over India which need to be kept a close watch upon.
Again, before you buy any property, make sure you cross check every detail and look out for the best time to buy property in the real estate market in India. The factors affecting price keep on changing and hence a close watch on them is appreciated.