5 reasons why ‘Right Now’ is the best time to buy a home

Certain things never go out of style; like the good old vintage cars or the rich, creamy Amul butter. It’s same with the love Indians harbour for gold and real estate. Two investments so dear to heart, that there is always some money accounted for these. The good news is that this affinity shows in the industry right now. Real estate sector in India is estimated to touch a market size of US$ 1 trillion by 2030 from US$ 120 billion in 2017 and contributes 13 per cent of the country’s GDP by 2025. There has been many factors driving this growth, but what’s so perfect about this season – making real estate investments looking so good? Let’s check that out.

Demonetisation

If you look at the uptake of real estate in the last year, the change began with one announcement – Demonetisation by the Indian government. The debate that there was a slowdown is justified, but this slump revamped the entire industry and cleaned up the malpractices and restored transparency in the system. Get a detailed insight in to how demonetisation has impacted the real estate sector] .  

Insight: The aftermath of demonetisation restructured the entire real estate industry and prompted many new buyers to invest, because they were assured that they don’t have to go up against competitive-buyers with hordes of black money.

RERA

RERA a.k.a. the Real Estate Regulatory Act (RERA) announced in 2016 has been another path breaking revolution for real estate. With one clean sweep, the rules ensured that it eliminated plenty of fraudulent practices – including misleading advertisements, undeclared project delays, false promises and unacceptable clauses which placed buyers on a spot. Check out how RERA is a game changer for homebuyers.

Insight: RERA has now turned out to be a distinguisher to filter out unreliable builders off the list. All the developers are now legally bound to include multiple protective clauses in the agreements, to suit the buyer.

GST

The GST implementation in the real estate industry was another milestone. It made the taxation policies much more lucid and simple for both the buyers and developers. At the same time, the prices remained favourable and affordable for the real estate market for everyone to make investments, powering the business further. Read more about the impact of GST on the real estate industry.  

Insight: The GST implementation has decluttered the taxation policies for the buyers and builders.

Low home loan rates

The surplus liquidity in the banking system resulted in RBI restructuring the key lending rates. Therefore, the home loan interest rates hit an all-time low of 9.5 percent a year in 2016 and ever since,  it’s been floating in the range between 8.3-8.4 percent. This proves to be a golden opportunity for the potential home buyers guaranteeing larger savings on EMIs. Take a look at what you need to consider before picking up a home loan.

Insight: Home loan rates are low and several subsidies are available under various government schemes.

Development push by the Government

The Government of India indeed has launched various initiatives to boost activity in the realty business. In partnership with state governments, several initiatives took life – supporting many in need of a home, hiking the sales in the business. One of the star projects has been the Smart City Project, which is a plan to build 100 smart cities, creating massive opportunities for developers and interest from buyers.

Insight: Affordable housing, smart cities, and various other initiatives are boosting real estate sector. Investing now can lead to significant long term gains.

The aforementioned factors have certainly impacted the business of real estate investments in a good way. It’s a highly favourable season for real estate investments to flow in, because of legal reforms, strong demand generated through quick urbanisation, hike in household income, and the evolution of affordable and nuclear housing.


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