Rainwater harvesting is one solution to the severe water crisis in India. Can we really afford to neglect this straightforward solution?
Real estate players with high-recall brands have upped their game and accounted for a whopping 56% share of the total housing supply in 2018.
Housing for All is all set for a renewed lease on life - and indeed faster momentum - under Modi 2.0, and will transform India when fully achieved.
FREE Report: Should I Buy Or Rent A Home?
The answer might surprise you
Download Now!100% Privacy. We will never spam you.
50% Complete
FREE Report: Should I Buy Or Rent A Home?
The answer might surprise you
100% Privacy. We will never spam you.
Besides the usual demand for single-window clearance and industry status for real estate projects, what should ideally be included in the budget are further tax sops to homebuyers as well as investors
Kolkata’s new launches recorded a massive drop of 85% during the period with merely 1,000 units being launched in Q1 2019.
- Overall unsold inventory of luxury homes (priced INR 1.5 cr – INR 2.5 cr) declines to 42,650 units in Q1 2019 from 48,300 units in Q1 2018
- MMR currently accounts for maximum share at 56%
- Bangalore sees 49%, Kolkata 37% yearly decline in total unsold ultra-luxury homes
- NCR and MMR each saw a 7% decline in pent-up luxury inventory during the year
- Mid-segment (INR 40 lakh – INR 80 lakh) saw max. reduction with 14%; affordable (<INR 40 lakh) saw a 3% rise in total unsold stock in this period
Anuj Puri, Chairman – ANAROCK Property Consultants
The slowdown in Indian residential real estate over the last few years caused most high net-worth individuals (HNIs) to shun luxury housing and look at other investments within or outside real estate.
However, ANAROCK’s latest study indicates that HNIs are now using the tail end of the slowdown in India’s luxury residential market to their advantage.
Stagnant prices and best-buy deals have brought back some of the demand luxury homes, leading to a decline of 12% in this segment’s overall unsold stock in one year.
If we compare commercial real estate yields to those for residential properties, it becomes evident why many HNI NRIs prefer investing in the former.
FREE Report: Should I Buy Or Rent A Home?
The answer might surprise you
Download Now!100% Privacy. We will never spam you.
50% Complete
FREE Report: Should I Buy Or Rent A Home?
The answer might surprise you
100% Privacy. We will never spam you.
Although investors are eyeing commercial properties and warehousing, the inherent demand for housing in India is beyond question.
Anuj Puri, Chairman – ANAROCK Property Consultants
As widely anticipated, RBI has once again reduced its key lending rate by 25 basis point. The lending rate now stands at 5.75, and this is the third consecutive rate cut since February 2019.
Even though the Indian economy is perceived to be in the grips of a slowdown, the markets are quite bullish on Modi’s return to power with a thumping majority.
This may eventually lead to mitigated risks in fiscal deficit – in all likelihood, it is sensing this that the RBI has made this rate cut.
As for the housing sector, this rate cut may send only send out positive notional signals – its real gain can be realised only if banks pass on the benefits to actual homebuyer borrowers.
The apex bank will need to ensure that this actually happens at the ground level since there has been little evidence of such transmissions in the recent past.
In the current scenario bereft with rising NPAs and the ongoing NBFC crisis, things look quite bleak at the moment.
The reason why most banks are not really able to pass on the benefits of RBI’s rate cuts is that their deposit rates are still very high.
Shajai Jacob, CEO – GCC (Middle East) – ANAROCK Property Consultants
Just like resident Indians, NRIs can invest in any number of properties in India and are also eligible to avail of home loans for as many properties as they like.
Of course, while there is no cap on the number of properties for which an NRI can take home loans for, repayment capacity must always be factored in.
Over-leveraging is never a good idea and regardless of what viewpoint a bank takes, NRIs must do their own repayment capacity calculations.
In India, most banks and non-banking financial institutions offer home loans to NRIs. However, the tenure of the home loan may vary, and the rate of interest is usually higher for NRIs.
Loan Tenure and Rate of Interest
An NRI usually has to pay a higher rate of interest than resident Indians. The tenure for a home loan to an NRI usually ranges between 5 to 20 years – only in select cases can it go up to 30 years for salaried professionals.
Most banks determine the loan amount eligibility of NRI borrowers based on their income and credit history.