“Year 2017 can be clearly described as a year of transformation for the sector. Developments like Rera, GST, affordable housing are set to change the entire landscape of the sector.
The Indian real estate sector saw a wave of reforms over the last 12 months, starting with demonetisation, which was a huge blow for a sector that historically transacted partially in cash.
India is a superpower-in-waiting. But economists are concerned that sluggish economic rate of below 7 per cent may continue for some years. The real estate sector too has been impacted by policy reforms such as Rera, GST and demonetisation.
Some 500,000 homes, all spruced up, ready but unsold. That’s the kind of inventory Indian realty players are currently sitting on mostly across the National Capital Region, Mumbai, Bangalore, Chennai, Hyderabad, Pune, Kolkota and Ahmedabad.
Call it bearing the brunt of economic reforms or any other name you choose.
Everyone wants to wish good, especially at the beginning of the New Year. Indian realty players are no exception and they expect a revival of home sector in 2018.
However, most real estate sector insiders say, the calendar year won’t be different from the year that went by, 2017.
Despite the slump, the real estate sector has seen robust private equity (PE) activity in 2017 with over Rs 40,000 crore investment.
Several private equity players raised fresh funds to invest in the sector.
While 2017 has been an action-packed year for the real estate sector with many far-reaching reforms, New Year 2018 will continue to pose some challenges as well as offer opportunities.
It is no rocket science to know that black money has been the oil and fuel of the Indian real estate sector. Neither would it be an exaggeration to suggest that the lion’s share of the country’s black money has traditionally been concealed in this sector.
The government initiative to tax developers, forcing them from hoarding inventories in anticipation of hardening prices, is likely to have far reaching impact on the real estate sector.
Bitcoin and other crypto-currencies have been in the news a lot if recent times, often for the wrong reasons but also because of the massive appreciation Bitcoin has been clocking up.
Our ideas of homes have clearly travelled beyond the traditional, native imagination synonymous with the concept. The changing aspirational lifestyle, liberalised investment windows and competitive price options has made ownership of overseas homes a closer reality in India.
The number of unsold housing units in the seven major cities stood at 6.85 lakh units at the end of September quarter, a fall of 9 per cent from the year-ago period, according to Anarock Property report.
The Indian facilities management (FM) industry is in the midst of rapid developments in end-user industries, which has led to considerable growth of commercial activities in metropolitan cities such as Delhi /NCR, Mumbai, Hyderabad, Pune, Chennai, and Bangalore.
The Indian logistics sector being granted infrastructure status is a landmark move with wide-ranging implications for an industry now set to grow 10-15 per cent annually.