The real estate sector has been facing numerous challenges when it comes to timely delivery of projects. Incomplete projects, increased construction costs, regulatory issues, demonetization and various other factors make it difficult for people to receive possession on time.
The Centre has issued new policies to curb this problem. With the coming of Real Estate Regulatory Authority (RERA)Act, Real Estate Investment Trust (REIT) and other policies, the face of real estate is changing. RERA was implemented to protect home-buyers, and also increase investments in the real estate sector. It will not only create adequate affordable housing in various cities such as Hyderabad, Mumbai, Delhi, etc., but will also attract fast growth in real estate markets.
Providing a win-win situation for developers and buyers alike, RERA is an effective tool. It will be beneficial to both developers and consumers. While the former will enjoy the confidence of consumers, the latter will benefit from the necessary transparency and on-time delivery of projects.
With the coming up of these policies, real estate developers like Modi Builders, Ashoka Developers and Builders Ltd, Prestige Group among others, have started implementing them. This has not only created a positive image, but has also helped the builders in increasing the much-needed consumer base.
Aligning with the consumers’ interest, RERA has made the policies for launching a new project very strict. Participation of the Supreme Court has brought the necessary changes. Claims like ‘project delivery in 3 years’ are now considered bogus because it takes around 5 – 6 years to complete one project.
Talking about major real estate hubs in India, Delhi has been witnessing a lot of real estate development. There are various projects that are lined up, and are awaiting final delivery. Similar is the case with other hubs, such as Mumbai, and Hyderabad. RERA has made it mandatory for builders to deliver existing projects before coming up with schemes to launch new ones.
Considering Hyderabad in particular, the net commercial space was around 32 million square feet last year. With consistent growth, the space will rise to around 600 million square feet by 2019. There has been an upsurge in the number of queries from buyers, particularly in Hyderabad. With millennials taking interest in property, the trend is predicted to continue. Residential developers like Modi Builders are taking the real estate sector to a new level with their close following of RERA and the commitment to deliver projects on time.
As a result of changes in policy, the growth of investment and residential market in India is expected to be steady in 2018. Among other cities, Hyderabad is also on the path to becoming one of the most coveted cities in housing markets. Realty experts from Modi Builders foresee an aggressive positive change in the market with the coming of RERA and other policies.