In stark contrast to the sharp fall in the sales post demonetization, sales momentum in the country's real estate sector is recovering at a rapid pace, said ratings agency Moody's in its recent report. The sales volumes are expected to gradually accelerate in the affordable housing sector as liquidity returns post demonetization move. It further elaborated that sales volume in real estate sector decreased by around 40% year-on-year in the fourth quarter of 2016, while launches dropped by around 60% during the same period. There were signs of extreme caution by buyers, and real estate developers refrained from announcing any new project during this period, the ratings agency added. Sentiment in the sector has improved since then. Measures in the 2017 budget will support the affordable housing segment, while reductions in home loan rates since November 2016 will improve demand. One measure introduced in the budget was the granting of infrastructure status to affordable housing, which will allow developers to borrow at lower interest rates. At the same time, the government introduced measures to prop up the secondary market. A more liquid secondary market will in turn benefit the primary market. At the same time it also cautioned that the sales for the luxury and mid-market segments likely to remain weak for another 12 to 18 months.
📅Published on:
03 March 2017
🔗Share:
We Value Your Comment
⭐How useful is this information?
Submitting...
03
Thanks for your rating! ✌️ We’d love to hear more - share your thoughts by leaving a comment
Allcargo Logistics Limited has announced its initiative to enable FMCG companies to navigate increasingly fragmented inventory flows through integrated,
GHV Infra Projects Limited has secured a road construction and civil works contract worth Rs 815 crore from APCO Infratech Private Limited in Maharashtra.
JCB India announced the inauguration of a new facility of its dealer, Caculo Earthmovers in Karaswada, North Goa, further strengthening its presence in the
The Godhra–Vadodara section of the Delhi–Mumbai Expressway has been completed and opened for traffic on a trial basis from April 13, 2026, according to the
The Rajasthan State Industrial Development and Investment Corporation will invest Rs 1,200 crore to upgrade infrastructure across more than 450 industrial
Dubai has completed its first air taxi station near Dubai International Airport, marking a major step toward launching electric air mobility services later
Informa Markets in India is gearing up to host the 23rd edition of Roof India, Asia’s premier exhibition for roofing and allied products, from 23–25 April 2026
NBM Media
30+ years of reporting on infrastructure, construction, architecture, & real estate across print, digital, and social media.
