Reacting critically with various reforms like RERA, GST, and Accreditation, the realty sector is putting hope for relief measures such as low taxation and infrastructure situation in 2018-19 budgets. The year 2017 was an important event for this area with many structural plan reforms, which resulted in an increase of 1, 03,570 launches in the Residential Apartment in Pataudi Road which was 1, 75,822 in 2016.
Central Budget 2018 is mainly focused on the development of rural infrastructure, agriculture, which promotes the development of micro, small and medium enterprises, and also enriches kinship throughout the country.
With the recent implementation of favourable policies, India’s economy is already on a fast track development path. With the improvement of the consumer and investor sentiment of these reforms and policies, there has been a positive impact on the real estate sector.
Industry players are expected to be rationalized at the rate of 12% to 6% in GST rates and stamp duty is being brought under the purview of GST. In addition, industry status in the big real estate area will help to increase the requirement for surplus New Residential Projects in Delhi NCR and assist with financing at the lower price for durable projects.
GST recycling has helped in promoting and benefiting demand by capping 6% with input tax credit for the entire segment in real estate.
The real estate sector should be allocated to the infrastructure stage so that the developer will have to lead the construction funds available at a low rate of interest. This will finally advantage EWS and LIG clients because developers will be in a position to actually build Flats on Pataudi Road Gurgaon in a real way.
Apart from this, stamp duty continues even after carrying out of GST and prices differ from state to state, which boosts the cost for the client.
Reducing the cost of land acquisition will encourage many private players. If the government does this, then there will be an effective distribution of many new launches and Plans by private players.