Property developers commotion more launches in the sub-Rs 20 lakh category of homes, after yesterday’s price range concession.The finance minister had said well-qualified would be an interest subsidy of 1 per cent for one year on loans up to Rs 10 lakh for properties worth less than Rs 20 lakh. This is expected to boost this apartment segment.
Developers compatible for Unitech, Omaxe, Puravankara, Lodha Developers and Ansal had extant disturbed into the sub-Rs 20 lakh category, as the economic downturn, twofold with fear of job losses and salary cuts, slowed sales of premium housing projects, reducing their cash flows.
”We will try to store to the whole demand that would breeze in adjacent the government’s decision. Our Uni Homes project cede benefit from this project,” said R Nagaraju, general manager, corporate planning, Unitech, the country’s second largest developer.
Unitech has recently introduced a new brand, Uni Homes, for low hike projects access the Rs 10-30 lakh range and is planning to bring about projects in heptad cities, including Noida, greater Noida, Chennai, Bangalore and kolkata. The first such task would stand for announced next week.
Ravi Ramu, director of Bangalore-based Puravankara, which has set up Provident apartment to induce affordable housing projects, mentioned the extra savings made by home loan borrowers (due to the Budget benchmark) is expected to drive sales of its housing projects. Provident is making plans to get going a few cardinal homes effect the Rs 14.9-18.9 lakh category this week in Bangalore.
The company is planning to launch around 12 million sq ft of projects under this category this economic in many parts of the country, he said.
The Delhi-based Raheja builders and Mumbai-based Sunil Mantri Realty say they’re planning to launch 20,000 homes and 10,000 homes, respectively, in the sub-Rs 20 lakh categry in the future one year.
The FM’s announcement is expected to save Rs 60 as every Rs 1 lakh on a home loan borrowing per month.
“The announcement has come predominance at the tailor-made time, when philosophy clout the realty market is turning positive also domestic patrons and investors are returning. With developers telling to inexpensive housing from premium housing and government announcing incentives, the stress is building. I feel indubitable is a good opportunity for builders to focus on this segment now,” said Sanjay Dutt, boss executive, business, at property consultancy Jones Lang LaSalle Meghraj.
However, developers are not enthused by the FM’s announcement to give trouble holiday through builders under section 80 1B (10) of the true Act on profits from projects approved between April 1, 2007, also March 31, 2008.
“Tax gala for 2007-08 is historic. We cannot carry the advantages from this announcement as we have sold our projects. Otherwise, we would have tailormade our projects and passed on the benefits to buyers,” Ramu of Puravankara said
Courtesy: 4th Aug 2009