With the election of the new government at the center, almost all the sectors have been changing. Some have faced an upward trend and others have been witnessing a downward movement.
Beginning with the new government attaining a clean majority, speculations in the real estate sector have been the most prominent. First here was some confusion about the stability of the investment and possibility of new investments for good returns and in a little while the stability started getting reflected.
Read More- Sector Prediction for next 5 years: Real Estate
If you are a property enthusiast, then the new government and the resultant effect must have been a priority for you too. It came as a big relief to investors to see that now there was going to be a stable government at the center as this is one of the most crucial factors to have a real estate boom.
In the recent past, builders have been trying to apply various marketing techniques. They launch the most expensive project of the locality to build enthusiasm and also advertise that the property is sold out within weeks to increase desirability, says Knight Frank’s Goenka.
Another statement comes as a bad news, “Owing to the increase in the cost of raw materials, the possibility of price correction is fairly remote,” says DTZ’s Jain.
What’s in store?
We all are expecting to see the economy in a good shape. When the government declared the low cost housing schemes for urban poor and middle income groups, it came as a great news to all those who are still harboring the dream to have a house of their own, a space they can call their own nest.
However, this is not all; this news was welcomed by big building enterprises too, as these housing schemes have now been declared as ‘infrastructure projects’ which allows the builders to get bank loans and avail other cheaper banking facilities. This as a result will have better infrastructure for all.
The new government has promised and is working towards a more efficiently regulated market, taxation, infrastructure development and environmental management. With the entry of private sector in the governmental plans, there is bound to be better management and partnership.
With the plan called inclusion of all “housing for all by 2022” that the Modi govt. has got, there are speculations that home loan interest rate would go down and even the service charges are bound to fall. A dream home may not be very far after all !
The last few years have seen a turbulent market and the new regime will have an investor friendly and reform oriented approach for domestic and international opportunities.
This change will bring in better foreign investment and as a result, there will be better adherence to quality standards, and more national and international competition will also bring down the cost of houses. What a relief for investors!
Last but certainly not the least, there is going to be better care of our environmental norms. We desperately need this one to be looked after. A greener country and greener homes!
This govt. and its moves are going to look good on the investment charts and business news hopes the same to take place. Better reforms, better infrastructure, and more stability.
The following figure launched by the BSE explains the trend: