REALTY : What 2016 holds in place for Realty

The year 2015 was filled with ups and downs for Indian realty. A lot was expected out of this sector but very few were delivered as was evident with the functionality on various fronts. With various ups like reduction in lending rates, Smart City mission, AMRUT, FDI boost, etc.; the sector also witnessed extreme lows like the land bill, which could not be passed even after considerable push from all quarters. The Real Estate Regulatory Bill was also a big hopeful this year but ultimately got diluted in the long run even after lot many of the amendments being cleared by the cabinet. Letís take a quick peek at what the entire sector can expect of the year ahead.

Stabilized Markets: With the markets stabilizing and RBI holding on the cut repo rates, it is a clear indicator of the apex body giving the market and economy a chance to stabilize and grow thereon. This is a bold move and will be well supplemented by the next policy review. A lot many FIs have not cut down on their lending rates and those who have, the cuts have not been substantial. If the next policy review goes through without any change, all financial institutions will be compelled to pass on the benefits to the end users.

Real Estate Regulatory Bill: The bill got a very genuine push recently with the cabinet giving its nod to around 20 amendments in order to make it more viable to be pushed through. This should gather credibility for the bill in the next parliamentary session and will definitely revolutionise the sector.

GST Ė The Reformer: The goods and service tax bill will be a great reformer in the economy as it will completely make go of the multiple taxations. With over 30 allied industries, this sector is sure to be one of the biggest gainers out of this. This is sure to help reduce on the final cost of possession and the end users are sure to benefit through this.

Land Bill: With so many projects in the pipeline and more in the offering, land acquisition is sure going to play the biggest bet in the overhaul of the real estate sector. It is sure going to provide the much needed revamp for infrastructure in the country and we all know how a revamped infrastructure pitches in for a better real estate sector.

This brings us to conclude that 2016 will have a lot to offer to the real estate sector and this will turn tables which would be landmarks for years to come.