Indian real estate players anticipate the Finance Minister's budget to lower construction finance costs, boost the sector, enable affordable housing, and expedite project clearances.
Mumbai faces a real estate crisis with Rs275 billion invested since 2005 yielding few returns, leaving many flats vacant and buyers confused amid rising costs and regulatory changes.
India's real estate prices expected to rise further as Finance Ministry retains 2.5% service tax on under-construction projects, impacting homebuyers.
CREDAI submits memorandum to Finance Ministry to remove service tax on under-construction housing complexes.
The recent budget announcement has left many industries, including real estate, dissatisfied with a lack of significant changes or incentives for foreign investments. The budget's provisions are seen as inadequate to combat the ongoing recession.
The Indian real estate sector is optimistic about the recent budget but calls for further action to meet industry demands, with key benefits noted for housing and infrastructure.
India's upcoming budget, the last before general elections, is expected to be populist, focusing on voter appeasement through tax reductions and increased social sector spending.