What 2016 Contains for The Real Estate of India

By Admin April 08, 2016 project-reviews
What 2016 Contains for The Real Estate of India

The first quarter of 2016 is full of encouraging surprises for India’s real estate sector. Essential events like Budget & RERA Bill are exclusive initiatives that real estate investors & end users are waiting for.

Now, at this time when we have entered into second quarter of 2016, real estate forecasters consider there could be even more appealing trends that would regulate the real estate of India. 

Let’s find out together “what’s 2016 contains for the real estate of India?”

Real Estates 2016

Noida - an up-and-coming hotspot in NCR 

This city is expected to be the next investment destination in Delhi NCR, because of the robust connectivity they have with Greater Noida, Delhi, Ghaziabad, Gurgaon & Faridabad. 

At here, there are lots of open lands, so real estate developer can avail spacious residential options. To satisfy the requirements of Noida’s rising metropolitan population, the real estate continue launching residential as well as commercial developments. So, together with this continuing trend, Noida is estimated to have doubled the number of development by the coming years. Superb connectivity from every part of Delhi NCR, well developed infrastructure and the company of big & small industries and IT companies are few factors behind the success of Noida.

Sectors adjacent to the Noida – Greater Noida have been focused by the developers and in the coming days developers like Godrej Properties & Tata Housing are planning to launch their residential projects over there. A big numbers of developments in this region are high rise with green landscape and surrounding. These developments in Noida are located in close proximity to Expressway, Educational Institutions, Hospitals, Metro Stations and close proximity from New Delhi. The blend of superb architecture and amenities offer a refined lifestyle to the residents of Noida.

Greater Noida is also a recently developed residential and industrial part of the city, and is being urbanized as a well-developed sub-city, with swanky malls, maintained roads, high rise buildings, commercial development and institutional areas like knowledge parks. Proposed Delhi Metro Scheme in the city will ease the travel between Greater Noida and Delhi.

Demand and supply of Affordable homes will boost

Dimand Supply

With the scheme of the finance minister to allow 100 percent deduction for profits to developments for constructing homes up to 30 sq. m in the four metros and 60 sq. m in other cities, the contribution in affordable projects is expected to get increase.

The demand for affordable housing comprises about 80 – 90 percent of the overall demand for housing in the country. The deduction has been given only for the developments registered between June 2016 and March 2019, and ready for the possession in 3 years.

According to the real estate experts & developers “this compensation would raise a 15-20% growth on earnings for a builder after paying MAT, making it easier to magnetize foreign and domestic investment for residential development.”

Budget of 2016 has also planned service tax exemption on building of affordable housing up to 60 sq m with any government planning. For the first time home buyers a special deduction for extra interest of Rs. 50, 000 yearly  for the credit up to Rs. 35, 000, 00, granted in 2016-17, where housing value does not exceed Rs. 50, 000, 00.

High Demand for Ready-to-Move-in properties in Bangalore & Delhi NCR

Heavy demand for ready-to-move-in residential properties was a major trend experienced in 2015 and is likely to carry on in 2016 as well. Unreasonable delay in the construction has amplified demand for ready-to-move-in developments extensively. On the other hand, current RERA Guidelines will decrease the cases of projects delay in upcoming projects.

Heritage cities of India are the upcoming real estate destination  

This exclusive scheme by the Central Government to develop different small cities as heritage will also make happen soaring real estate development in those regions shortly.  You can experience the effect of this scheme in the last days of 2016.

First phase of this scheme include cities like – Amritsar, Mathura, Ajmer, Varanasi, Gaya, Kanchipuram and Vellankani.

Many heritage cities which are in the second phase like Rishikesh, Varanasi & Lucknow are already experiencing excellent real estate development, other region are expected to board on this development journey soon.

Industrial corridors to enhance infra growth in vicinity 

Regions come adjacent to the big freight corridors & industrial corridors are expected to see excellent development in the future. As every passage pass by side to side of various industrial towns, villages and cities, these are ready to become investment hubs.

Standard versus high class amenities

It is a supposition that about 5 out of 10 end users choose standard amenities over high class ones, disclosed by a recent survey. For example residential projects in South India prefect kids play area. Projects in Western part of the country prefect high security, garden, gym, intercom and many other services like these and in Northern Part of India, buyers prefect, open landscapes, water bodies, club houses and many other services. If we examine the all over India circumstances, then more end users like better to have standard amenities more willingly than the previous trend in which investors took fancy to luxury amenities.

Small is reasonable

2 & 3 BHK Apartments sizes are now taking preference over 4 & 5 BHK Apartments & penthouses in Delhi NCR. Big sizes home that need heavy maintenance are out of desirability for a number of end users.

In addition, accepting the affordability point of view of the new investors, real estate developers are also launching development that is comes within the budget of the middle class home buyer.

Word “Smart City” a latest booster for real estate

Smart City

This word is a new tag for the cities and works like a magnet for the real estate developments in different cities of India. As a result, several developments will be seen in and around the cities assigned as a Smart City. Study findings show the immediate interest of investors towards these upcoming smart cities.

About the Author - Admin
Admin
Baldev Singh writes the content on real-estate from several years and he is one of the few writers who provide the thought-provoking content on best properties deals.
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