GST and RERA may have hit the real estate industry very hard, but the experts at Clear Estate, an online real estate portal, believe that the industry will benefit from these reforms in the longer run. Having disrupted the economy of the country, GST has slowed down things in the real estate industry as well. The sector has been facing significant challenges, but the future looks stable after all the criticism.
Aided by GST, demonetization has also hit the real estate industry, but the realty developers with transparent business practices are likely to witness huge sales, with bad players already out of the equation. Even though the sector almost came to a standstill initially after the new reforms took control, the lasting positive impact of these reforms shielded the negative effects.
The primary market transactions have been bereft of cash as the home purchases are made through loans due to these reforms. Developers have been facing cash shortage and the sector has not been able to attract buyers and investors. According to the Clear Estate experts, an upcoming realty portal, initiatives like affordable housing are now driving the real estate market through residential property sales.The clampdown on floating cash in the system has contributed significantly in curbing inflation, which in turn helped RBI in cutting down interest rates, thereby boosting residential property sales.
The provision in RERA to speed up the project completion, together with the government’s move to make all building sanctions online, will help in controlling the home prices. Amidst all this, the credible developers potent enough to deliver the projects on time with the right quality will rule the roost. Data insights from realty portals like Clear Estate can help the developers in conceptualizing innovative products to take full toll of the opportunities in the market.
Investors and buyers can also benefit from current policies. The transparency in the system will encourage them to increase their property portfolios. New reforms have infused a sense of trust among the consumers as the process is well-defined. Data-insights from Clear Estate can further help the consumers with investment prediction and market research in future. The processed data can be used to understand new techniques and methods to make the right choice.