Since the home buying continues at its full pace even after an impending rate hike by Reserve Bank of India due to which there have been a continuous rise in property prices, the realty industry now is completely free from tensions, i.e, has shrugged off all its worries. Due to the still high food prices, many economists expect a fifth round of policy rate hikes towards the end of this month. Most probably, RBI will unveil its first-ever mid-quarter policy review on September 16.
However, the developers are still cool and confident for the residential sales even after a possibility of rate hikes by RBI are almost next week. The chairman of CREDAI, Confederation of Real Estate Developers’ Associations of India, Mr. Kumar Gera say that since the buyers fear of price rise in future, therefore they will not stop investing right now. These days an investor does not see the price if he can afford it, he added. Therefore, this price hike won’t make much difference to the market.
A workshop by arranged by CREDAI, The Confederation of Real Estate Developers’ Association of India on September 7 at Ocean Pearl, Mangalore.
The district in-charge minister Krishna J Palemar inaugurated the workshop and said that people have already disobeyed law in the past and have undertaken illegal construction due to which city lacks in proper parking areas. Also, this has made the possibility of widening roads impossible.
He added that no new Transferable Development Right (TDR) will be accepted now. The situation is that even if the officials shatter some walls, sufficient parking space would not be available. Thus, separate land should be allotted for parking with addition 30 feet for road widening. The left out land can then be provided to building owners as per the new Comprehensive Development Plan (CDP).
V Ponnuraj, the deputy commissioner gave a presentation on Introduction and analysis of various options of TDR and DR. Dharmaraj, an architect and MCC consultant then came up with the process and Terms and conditions.
According to CREDAI, the Confederation of Real Estate Developers Association of India, due to the application of service tax as per the union budget 2010, the property prices will experience an increase.
All of us are aware of the fact that this service tax has come into effect since July 1. For those who don’t, a quick recap says that an introduction of “deeming provision” took place in Union Budget 2010 which brought realty within the horizon of service tax.
According to the president of CREDAI, Mr Chitty Babu, there will be an increase of around 2.5% in property prices on account of the levy. Additional to this, in locations like Tamil Nadu where land registration and sale of building are done separately, a hiatus of 66.3% has been granted, thus, service tax will be applicable on the balance.
Finally, this whole tax would come just on the shoulders of buyers. This fact has even been admitted by some developers that they would charge extra from the buyers themselves to pay this tax.
One of the most prominent bodies of realty developers and builders, Maharashtra Chamber of Housing Industry has planned to showcase the phenomenal work of Indian builders in the field of property in the 13th India Realty Expo 2010. This expo is scheduled from 3rd to 5th June, 2010 in Dubai, at the Renaissance Hotel, Deira. This step is taken by MCHI to bring some of the NRIs in the Indian realty market.
is a member of CREDAI, Confederation of Real Estate Developers‘ Association of India. This expo will last as an opportunity to NRI investors to fully explore the offers and opportunities in front of them as far as Indian realty sector is concerned. This expo would throw light on all the fields, be it be housing, retail or commercial sector.
This ‘India Realty Expo’ will prove as a golden opportunity for the NRIs, especially in the Gulf region, to come back close to their motherland. Apart from CREDAI and MCHI, there will be 21 more builders who will participate in this expo. The expo will be held at from 5 pm to 9 pm on 3rd June whereas the timings for and June are 10 am to 1 pm and 4 pm to 9 pm. The main focus of this expo will be on the real estate sector of cities like Bangalore, Goa, Pune and Mumbai.