The push towards making housing affordable and new regulations will influence the property sector in 2017
The property market is always a subject of much interest and debate, but particularly so after demonetisation with the government’s push towards making housing more affordable adding a new dimension to the sector. Alongside, some new trends are emerging in real estate, those which can significantly alter the dynamics of the realty market in the coming days. Indeed, it would not be incorrect to say that India’s realty sector is currently in “reset” mode. In a recent report titled ‘Disruption and Reset in 2017’, investment bank CLSA points out that demonetisation and the Real Estate Regulatory Act (RERA) are the two major disruptions for the sector going forward. The report says while affordability for residential property is expected to improve, the government’s support will also influence recovery. RERA, on the other hand, is likely to delay launch recovery to late-2017.
(This story appears in the 14 April, 2017 issue of Forbes India. To visit our Archives, click here.)