Positive Impact of Budget 2014 on Real Estate

The Union Budget 2014-15 was presented in parliament under economic circumstances requiring tax revenues to keep pace with targets. Mr. Arun Jaitley has given a fresh lease of life to the cash-strapped real estate sector and announced that Real Estate Investment Trusts (REITs) would soon be allowed.

                              

REITs, which are a fairly successful concept internationally, would get a tax pass-through status. Infrastructure Investment Trusts would get tax benefits as well.

Below are 5 key points from this Budget that’ll shape the industry in the years to come –

1): Introduction of Real estate Investment Trusts (REITs)

Ø  REITS Define as an investment instrument in the Indian Market and the finance minister has promised tax pass-through status for the same. REITs can be traded like shares in a share market. 

How will this Impact the real estate Sector?

The Tax through status for REITs will attract more investments into this sector especially since it removes double taxation. This would allow investors to plan their taxes in better way. For example, capital gains on REITs can be written off against capital losses incurred elsewhere. Builders can use REITs to fund and operate commercial offices and this move would enable small investors to invest in commercial real estate, in smaller chunks.

2): FDI in Real estate

What has been accomplished?

Previously, FDI was permitted only in real estate projects which had a lowest proposed developed area of 50,000 sq. mts. and a capitalization of $10 million. This has now been reduced to 20,000 sq. mts. and $million.

How will this Impact the real estate Sector?

This will increase liquidity and make raising capital for projects simpler for B and C category developers, builders, especially in Level 2 and 3 places. Because of this shift, we can anticipate more affordable houses in the market in Future. Developers or Builders who allocate a third of their projects to low cost homes are exempted from these rules.

3): Tax deductions on home loan repayment

What has been accomplished?

The tax relaxation available for home loan interest pay back has been increased to Rs.2 Lakhs from Rs. 1.5 Lakhs and the limit under 80c (which contains home loan principal repayment) has been increased to Rs.1.5 Lakhs from Rs. 1 Lakh.

How will this Impact the real estate Sector?

This helps consumers save more by investing in real estate. The move will enhance the residential real estate  market which has seen a downturn recently.

4):  Affordable housing

What has been accomplished?

Rs. 4000 Cr. has been allocated for affordable housing via the National Housing Board

How will this Impact the real estate Sector?

This is in line with the Governments vision of providing housing for everyone in the country by 2022. This move will help provide housing to lower middle class and economically weaker section of society.

5): Development of Smart Cities

Ø  The Government is aiming at providing global - standard cities and improving the overall infrastructure by constructing roads and other facilities. This will provide a more option for NRI’s to look beyond the cities and invest in locations nearer their home towns or quieter suburbs and satellite towns.

What has been accomplished?

Rs. 7060 Cr. Has been allocated towards development of smart cities.

How will this Impact the real estate Sector?

Development of 100 smart cities was part of the BJP’s manifesto. Urban Development minister Mr.Venkaiah Naidu had a meeting with ministers of various states about the same on 2^nd June, 2014. These will be planned cities across the country with GIS based town planning, integrated drainage systems and advanced transportation facilities. These new satellite cities would help the real estate sector in terms of employment through construction and betterment of infrastructure and providing affordable housing.

Author:

B.U.Bhandari Landmarks leading real estate developers in Pune and their upcoming construction projects in Pune are residential project - Unity Park in Kondwa and Alacrity in Baner, Commercial Project in Kharadi & Belleza  NA bungalow plots.

Pune Real estate One of the Fastest Growing Sector in India

In modern and quick lifestyle everything has modified a lot, our lifestyle, our ideas, our needs and almost everything. But one factor that is still there is the need of a good house. With the improving aspects of property,  individuals are becoming more and more aware about buying residence, apartments, na plots and Commercial Properties. In metro city like Pune getting a suitable place to live is a big deal today. Flats in Pune is a difficult milestone to be obtained by an individual. But still people are trying to find out a better place for living in cities like Pune, Mumbai, or Bangalore. Wherever you go on this planet the scenario is not going to change in case of metro cities.

The residential Developers in Pune are trying best to meet up with the ever boosting requirement of Property in Pune. Actually due to developing companies and growth of different kinds of business and future growth people are coming and reside in these big Cities for educational and professional purpose and this pattern create them look for an excellent residing position for themselves with Family. So it becomes important to have an affordable Luxury apartment, Flats where they can stay their lifestyle peacefully.

In Pune due to the locations / area and development prospective prices or the value of each and every residence is very high . Apart from the area value there is another reason for moving of real estate faster here, that is the development of the economical background helps to change the people's lifestyles and this facts leads them including to the elevation of life standard and modern developing lifestyle enhance the faster moving of real estate market here. So whenever people searching for the property in Pune wishing to get the services via reliable real estate firm though there the possibilities of expense may be happen rather than without these facilities of real estate helps. Pune real estate industry goes circular to the economical commitment in this industry as it is low threat economical commitment and lowest economical feedback from the real estate developers.

So the cause may differ for the purpose of the growing real estate in this metropolitan city of India but there is the summary at one end and that is the business of real estate industry is increasing day by day as per the requirement. Hence people who are planning to get some new arrangements for their existing place in Pune, they can get in touch with our website www.bubhandarilandmarks.com . It is an Pune real estate website with all the current and relevant information about real estate. For more info Visit us http://www.bubhandarilandmarks.com

For More Information Visit New Properties in Pune

B.U.Bhandari Landmarks “Alacrity” - A New Luxury Apartments Project in Baner, PUNE

B.U.Bhandari Landmarks is a reputed real estate developer, being real estate it holds expertise in presenting spaciously crafted and beautifully designed residential living spaces & commercial properties. The much talked about latest residentialproject in Pune of this company is named as Alacrity which is a wonderful collection of 2and 3 BHK apartments in Baner. Every liveable space available under this project satisfies with the increasing lifestyle needs as all modern features are included along with primary features such like video door phone for each flat, LPG leakage detector, motion sensor and many more.

Alacrity by B.U. BhandariLandmarks has modern amenities due to which living there becomes luxurious experience. Some of the amenities here include garbage chute, rain water harvesting system, landscaped garden, a convenient, paved internal road, community hall with gym and a separate children's play area for the little ones to enjoy themselves.

However, the spaciousness of interiors along with added amenities is an advantage which makes home seekers to come up with necessary investment plans.

Alacrity is one of the best Residential projects in baner. It is near to Balewadi Sports Complex, Hinjewadi and Wakad .It is located on Mumbai Bangalore Highway and as a result the basic necessities are not far off. Great Amenities and convenient location is what make these Alacrity flats in Baner, an extremely attractive option for those looking for a plush apartmentin Pune.

For More Information Visit us Alacrity Luxury apartments in Pune