Budget Housing witnesses more buyers
According to a recent report by Knight Frank India, India Real Estate Outlook (January–June 2014), Pune emerged as the most affordable city among six cities in 2014. The city saw 83 % of new launches below the ticket size of Rs.50 lakh. Affordable housing is picking up in the city.
Similarly, 75 % and 62 % of the new launches in Chennai and the National Capital Region (NCR), respectively, were below the ticket size of Rs.50 lakh. However Mumbai remains the most premium market, with 34 % of total launches during 2014 being priced above Rs.1 crore. The real estate prices have always been the highest in the financial capital Mumbai and this data is not going to surprise people.
NCR and Hyderabad followed at 23 % and 20 % respectively at the Rs.1 crore segments. House sales may get further boost with leading banks reducing the interest rates on their home loans. It looks like Modi’s election manifesto of ‘’Housing for all by 2022’’ was taken seriously by the realty world.
On Tuesday, State Bank of India had announced that it is cutting interest rates on home loans to 10.15 % for all the loan brackets (10.10 % for women borrowers). However this facility will be extended only to the new borrowers, not the existing ones. These budget housing schemes also eye the middle income group salaried people. The government needs to come up with schemes for the urban poor so that they too can own their own dwelling and not live in the inhabitable slums.
Source- Mint
budget housing, financial capital Mumbai, India real estate, Knight Frank India, Modi’s election manifesto, new launches in Chennai
