Achieving Success in Real Estate through Financial Discipline
The Indian real estate market, valued at Rs 24 lakh crore, contributes 13.8% to the country's GDP. Financial discipline is crucial for project success, and lower home loan interest rates can boost demand.
Real EstateFinancial DisciplineHreraReraHome Loan Interest RatesReal Estate NewsJul 10, 2024
Arora emphasized that financial discipline is crucial for project success, and if developers adhere to it, no project can fail. He also advocated for a reduction in interest rates on home loans to boost demand. Lower interest rates can encourage investors and homebuyers to participate in the market, and builders can deliver projects at a lower cost.
The real estate sector plays a vital role in creating employment opportunities in India. According to Pradeep Aggarwal, Chairman of National Council on Real Estate, Housing and Urban Development at Assocham, the sector is crucial to make India a top economy. However, to achieve this, the government must provide support to the sector, especially in terms of affordability.
The Real Estate (Regulation and Development) Act, 2016 (RERA) has brought some discipline to the sector, with over 1,25,000 projects registered under it across India. Additionally, 75,000 brokers have also registered under RERA. However, there are concerns that if the government does not provide adequate support, the sector might face a downcycle in the coming years.
In conclusion, financial discipline is the key to success in the real estate sector. Developers must maintain financial discipline, and the government must provide support to the sector to boost demand. With the right policies in place, the Indian real estate sector can continue to grow and contribute significantly to the country's economy.
Information
Haryana Real Estate Regulatory Authority (HRERA) is a regulatory body established by the Government of Haryana to regulate the real estate sector in the state. Assocham is a non-governmental trade association and advocacy group that promotes Indian businesses and economy.
Urbanbriq Development Management Pvt Ltd is a real estate development company that provides development management services to real estate developers.
Frequently Asked Questions
What is the market value of the Indian real estate sector?
The Indian real estate sector is valued at Rs 24 lakh crore.
What is the GDP contribution of the real estate sector in India?
The real estate sector contributes around 13.8% to India's GDP.
Why is financial discipline important in the real estate sector?
Financial discipline is essential to ensure project success and avoid financial mismanagement.
How many projects have been registered under RERA in India?
Over 1,25,000 projects have been registered under RERA across India.
What is the role of government support in the real estate sector?
Government support is crucial to boost demand and ensure the sector's growth.
Related News Articles
Mumbai's Municipal Markets Get a Fresh Lease of Life
The Brihanmumbai Municipal Corporation (BMC) is set to renovate 47 municipal markets in Mumbai, with a focus on modernization and sustainability.
Real Estate Regulatory Authorities Resolve Over 1.25 Lakh Complaints: Economic Survey 2023-24
The Economic Survey 2023-24 has revealed that real estate regulatory authorities have resolved over 1.25 lakh complaints and registered over 1.30 lakh projects under RERA as of July 1, 2024.
India's Real Estate Sector Sees Unprecedented Growth in Private Equity Investments
India's real estate market has witnessed a significant surge in private equity investments, with a total of USD 1.7 billion invested in the first half of 2024, marking a 42% year-on-year increase.
Bank Credit Growth Slows Down to 13.7% as Demand for Personal and Agri Loans Drops
The Reserve Bank of India's clampdown on unsecured loans has led to a decline in bank credit growth, with personal and agriculture loans being the most affected. Meanwhile, industrial credit demand has seen a significant increase.
PM Modi Lays Foundation Stone for Vadhvan Port, India's Largest Deep-Water Port
Prime Minister Narendra Modi has laid the foundation stone for the Vadhvan Port in Maharashtra, marking a significant milestone in India's maritime infrastructure development.
BKC Bullet Station: A Catalyst for Mumbai's Real Estate Boom
The BKC underground bullet train station, 75% complete, is poised to significantly boost Mumbai's real estate market, attracting investors and developers alike.