Eow

Deceived investors sought EOW action for SC proclaimed offender Sunil Gandhi

Photo Courtesy: Internet 

Investors who gave their hard earned money to buy house in AN Buidwell project seeks EOW action on top court proclaimed offender Sunil Gandhi, after he was noticed in few of the videos in the hub of the Capital.

Sufferers are also saying that may be the EOW, which is investigating in the matter, is choosing to overlook this key aspect in an attempt to protect promoters.

Sunil Gandhi and SK Hooda are the two promoters who have been deceiving many by not providing houses after taking the money for their building project.

In this URL http://www.foseca.org/absconding-sunil-gandhi-found-in-the-heart-of-delhi-mastermind-behind-an-buildwell-scam/ he was noticed living freely in the center of the city even after the court had passed the orders.

Their few clients have been still crying blood tears in the hope of getting their first house of life. Renuka Kulkarni “Why there is no action despite Sunil has been given proclaimed offender orders, is the EOW supporting them,” one of the investors.

These two promoters were running a construction business company, AN Buildwell, and have been the defaulters from the past many years for taking money and not providing the house for which the people have invested their hard earned money in Delhi-NCR area.

A case was registered on that basis the two were given arrest warrants. SK Hooda was arrested just after the warrants but Sunil Gandhi managed to escape and has been absconding since then. However, when he was not taken to the custody Supreme Court passed the proclaimed offender orders for Sunil Gandhi.

Their one of the buyers, Vikas Sethi also updated us that “all our members are asking us, why is the EOW protecting promoters? How does the budget protect the rights of existing buyers? Should we not be given a respite on our payments and emi’s for those who are badly stuck.”

Budget Rectification

BUDGET 2018: Little cheer for real estate sector

Photo Courtesy: Internet

The Finance Minister delivered this government's fifth Budget amid subdued economic growth, challenging fiscal situation and farm distress. What makes it all the more important is the upcoming election in eight states this year and the General Election in 2019. Alike every sector, real estate which has the second largest employer in India was expecting higher attention. Budget 2018 brought little cheer for the sector.

The Finance Minister in his budget speech said, the government will establish a dedicated Affordable Housing Fund in National Housing Bank, funded from priority sector lending shortfall and fully serviced bonds authorised by the government. The announcements for the affordable housing sector have pleased the real estate sector.

Mr Ssumit Berry, Managing Director, BDI Group, said "We welcome the Union Budget 2018-19 presented by FM Arun Jaitley with emphasis given to the affordable sector. The announcement of establishing dedicated affordable housing fund has brought more relaxation to the affordable housing sector not only this the benefit of increasing coverage under PMAY is also a positive news for the end users"

Mr. Gaurav Mittal, MD, CHD Developers Ltd, said; The Finance Minister presented the Union Budget 2018, we welcome the budget. It has paved growth path for the affordable housing segment. Finance Minister announced of establishing dedicated affordable housing fund is an announcement at right direction aims to meet the overall housing target of the government of building 1 crore houses by 2019. Expanding of coverage under Pradhan Mantri Awas Yojna (PMAY) will fulfill every buyer’s dream of owning housing.

Mr. Vineet Relia, Managing Director, SARE Homes; The Union budget brings some relaxation for the housing sector. The 1 cr houses to be built under Pradhan Mantri Awas Yojna (PMAY) and establishment of a dedicated affordable housing fund will act as a booster for affordable housing sector. Besides, the announcement of allotting Rs 2.4 lakh crore for 99 smart cities, will increase the investments in the sector. However, lowering of GST rates was also expected to provide the extra push to the sector.

The Finance Minister, Arun Jaitley has said that as many as 99 cities were selected under the ambitious Smart city mission at an outlay of Rs 2.04 lakh crore. Smart Cities Mission is one of the ambitious initiatives of the Narendra-Modi led National Democratic Alliance (NDA)

Mr. Pushpender Singh, Managing Director – JMS Buildtech Pvt.Ltd. said ; As Real Estate makes pivotal contribution to the economy, the fall in the GST rate in budget 2018-19 would have provided the extra boost to the sector. However, investment of 2.4 lakh crore for 99 smart cities will attract more investments into the market which will uplift the commercial reality and increase the demand for office spaces.

The industry is, however, disappointed with no changes in income tax slabs or GST slabs, translating to no extra benefit to new home buyers especially in metro markets; the sector hopes that the next budget will bring good news next year.

Mr. Rahul Singla, Director Mapsko Group, said Finance Minister Arun Jaitley presented his Budget for the year 2018-19 in Parliament. The budget is largely focused on uplift of the affordable houses in the country. For next year, we expect a budget which will open a plethora of opportunities for real estate sector especially for ready-to-move-in which will help in the overall development of the country. 

Mr Ravish Kapoor, Director, Elan Group, said; "Budget 2018-2019 was the last Budget before the upcoming lok sabha elections. Last year many reforms like RERA and GST were introduced to the sector, for this year budget we were expecting some more new reforms, but the Indian Government has not given much reasons for the realty sector to smile. In next year budget we expect more for the real estate sector.”

 
Budget Real Estate

Real Estate expects ray of hope from upcoming Budget

Photo Courtesy: Internet

The budget 2018 is pinning on everybody’s head, so is the case with real estate sectors. Real estate is ready with their wish- list on hand and expecting government to pay full justice to them. Top most expectation of their wish- list is deduction on GST rate. A buyer of under construction property faces an effective GST rate of 12% since it is considered as availing of services from the builder. Stakeholders’ wants government to increase more incentive to the sector in order to achieve PM Modi’s dream “Housing for All” by 2022.

In 2017 government introduced a series of reforms like RERA and GST for improvising the situation of economy but it little bit affected real estate on first half of year 2017 but later on it worked out. As everything has its advantage and disadvantage, real estate faced both of it and stood back with better launches and projects.

So with the effect of reforms in 2017, developers believe that 2018 is going to bring fruitful budget. Here are the different views of builders on GST-:

Real estate sector experienced many jolts in the year 2017. The real estate regulatory act (RERA) came into force in May 2017 seeks to protect the home-buyers, as for 2018-19 budget the entire sector expects transparency, accountability and to increase investor confidence in real estate market in long run. In the same year Goods and Service Tax (GST) was also implemented, which replaced multiple taxes. The fraternity expects positive results in 2018 with favourable terms and conditions which would work in the favour of both buyers and developers. To further promote the sector incentives should be given to the first time home-buyers which will definitely promote the real estate segment in the long run bringing smiles on the faces of the people associated with it. Focus should be given for the supply of ready-to-move-in properties as the developers are seen focusing on completing their existing projects. – Mr. Ravish Kapoor, Director, Elan Group

We are going to witness India's first post-GST, which might be the last full budget presented by the Current Government. The steps from last couple of budgets have boosted buyer’s sentiments towards the real estate sector and we hope this year will further enhance it. The assigned GST rate for the under-construction properties is 12%, which is higher than the previous taxes. The real estate sector expects a strive to make GST a tax-neutral proposition so as to help people associated with it and there is also a recommendation that stamp duty should come under the ambit of GST which increases the overall price of the property. - Mr. Pushpender Singh, Managing Director – JMS Buildtech Pvt.Ltd.

The Union Budget for 2017-18 fiscal is going to be presented soon by the Union Finance Minister. This is a time when financial markets around the world are not in the best health, so the sector expects greater attention to bring larger investment which will help in the development of the sector benefiting its end users and the country. The forthcoming budget may increase the standard deduction limit on rental income which may fulfill the dream of more people of owning a home.  As of expectation, ready- to- move in will be given special preference because of the developers sustained focus on completing their existing projects. – Mr. Rahul Singla, Director, Mapsko Group

On the other hand developers want government to abolish stamp duty even after the implementation of GST as the rates are different in every state which causes increment in the cost of buyers.

Look our builders saying on abolition of stamp duty-:

Real estate is witnessing a challenging time presently, therefore, we  are very hopeful for some measures that will bring relief to the sector. With the Union budget around the corner, the sector expects a decrease in the Stamp Duty as it increases the overall cost of the property. Section 80EE of the income tax Act, works in favour of the first time home buyers as it provides an added tax benefit of Rs 50,000 on the   home loans sanctioned during the financial year 16-17, which should be extended this year as well, to refresh buyer sentiments. The sector is also expecting more clarification in terms of rates relating to GST for various properties including under construction. - Mr.Vineet Relia, Managing Director, SARE HOMES

The biggest demand of 2018 budget is to grant infrastructure status to the real estate sector, it will lead to construction fund being available to the developers at lower interest rate.

View point of BDI Group for granting infrastructure status-:

On February 1, Finance Minister Arun Jaitley is expected to present his last full year budget, for the 2018/19 year that begins April 1. It is expected that the budget will focus more on the infrastructure and housing sector to boost that country’s GDP. In the last year budget, affordable sector was given infrastructure status, with that we expect more for the segment to full the NDA government dream of Housing for all by 2022. The consumers expected consolidation of demand and over improvement in the market segment, in 2017 we expected that RERA will bring transparency, with GST to ease the sector, but unfortunately both these expectations were not met. In coming budget we expect the applicable GST on the real estate to come down and should also include reforms which will be in a favour of the developers and the buyers. - Mr. Ssumit Berry, Managing Director, BDI Group

 

The sector also expects reforms in land acquisition. 

Budget Rectification

Will Budget 2018-19 Boost Ready-to-move Property Absorption?

Photo Courtesy: Internet

With Union Budget 2018-19 just around the corner, the Indian real estate market waits with bated breath to see how it can potentially benefit. In fact, it has never been a better time for aspiring homebuyers, as there is a more than generous stock of ready-to-move housing options across most Indian cities.

Ready properties are the pièce de résistance of 2018, not least of all because they are the most de-risked purchase proposition, do not attract GST and offer instant gratification. After all, owning a house is the culmination of almost every Indian’s lifetime efforts and aspirations. The sense of security, achievement and social stature linked to home ownership is what has for long been driving the demand for – and supply of - residential developments across India. All major roads, railway stations and airports are flanked by hoarding advertising real estate projects.

With a massive urbanization rate of more than 30% (estimated to reach 40% by 2030), the demand for homes in India an assured long-term story in which chapters will continue to unfold. However, due to wavering economic growth, an uncertain job market and rising property prices, residential real estate demand has remained largely subdued over the last few years. Paradoxically, developers continued their protracted project launch spree - leading to a huge unsold inventory pile-up.

Due to the structural changes and policy reforms such as demonetization, RERA and GST, the new launch activity slowed down in 2017. Nevertheless, December 2017 saw more than 7 lakh units remaining unsold across top 7 cities of India. Under the RERA regime, stringent guidelines and financial discipline have now been force-fed into the systems and processes governing the real estate business in India. Unsurprisingly, developers are now focusing on completing existing projects to avoid being entrapped in compliance hassles.

This laser focus on project completions is a blessing for homebuyers. The mammoth unsold inventory has already turned the Indian real estate arena into a strongly buyer-favouring market. Now, at the beginning of 2018, there is a huge opportunity to cherry-pick ready-to-move-in house as around 1.7 lakh unsold units are likely to get completed in this year. With the right kind of boosts to the Indian consumption story, we could see a massive return of buyers who are hoping to snap up ready-to-move homes but need that last decisive ‘last-mile’ incentive push.

                                                           Graph

The above graph confirms that a large chunk (67%) of unsold inventory to be completed in 2018 will be added in NCR, MMR and Bangalore.

  • Over the past few years, NCR - largely an investor-driven market - has been a front-runner a mong the top 7 cities in terms of churning out new residential launches. However, developers’ focus on completions has been minimal. Now, the entire new launch activity seems to have shifted to a slow track due to the combined effect of demonetization, RERA and GST. Among NCR’s many developers, those that had been relying of deceit and misinformation are now having a rough time as the real estate business as a whole re-orients itself to the rebooted market conditions where focus on project execution has become a paramount consideration.

 

  • MMR’s real estate market is driven by a good mix of investors and end-users, and has also been flooded with new launches over the past few years. While the many structural changes and policy reforms in the recent past have taken the sheen off the high-end and luxury real estate segment, mid-range and affordable housing projects will remain in focus in MMR for the foreseeable future. With massive growth potential and huge latent demand in the suburbs and peripheral areas, housing requirements in these regions will make a comeback sooner than in other parts of the city.

 

  • Bangalore, largely an end-user driven market, has always adjusted as per market guiding circumstances and developers have accordingly restricted new launches to align with realistic absorption potential in such a market. This time around too, Bangalore’s developers are concentrating on completing existing projects rather than adding new ones to the market.

In terms of affordability, buyers scouting for ready-to-move-in homes priced below INR 80 lakh will have a bracing spread of options across the top 7 cities. Overall, buying ready-to-move-in properties in a buyer-favouring markets is always beneficial:

  • No execution delay
  • Attractive pricing
  • Buyers can relocate immediately to save on additional rentals
  • WYSIWYG (what you see is what you get)

The major disruptive structural changes and policy reforms are now behind us. As 2018 begins on the right note of transparency and the right approach by developers, ready-to-move-in homes are indeed the flavour of the season. If Union Budget 2018-19 takes the right direction for the Great Indian Middle-Class, the sales uptick of these properties could be very significant indeed.

(views by Anuj Puri, Chairman – ANAROCK Property Consultants)