1/24/2017 1:31:53 PM
Budget 2017 - Real Estate Sops are a Must for Urban India
The past few budgets have had nothing much for the Real Estate Sector. The expectations from Budget 2017 are huge from each sector post demonetization as the Finance Minister and the BJP Government have to please the masses and give back some kind of a relaxation after the 50 days inconvenience. Because BJP is also one of the strong contenders in the Elections due in various states, its going to be very interesting to see how the balancing will be done to please the Sectors which were impacted most, the Urban and Uber Class and of course the Middle class.
On 31st December 2016, our Prime Minister Mr.Modi gave away some sops which were primarily targeted for the affordable housing and respite from higher interest rates, this was a measure to please the people in that segment and for the Tier III Cities and people who stay in villages.
The Urban India typically meaning all Metros, Tier I and Tier II cities, have the maximum population which is tax paying and they are the ones impacted by any budget. The Finance Ministry should understand the issues the Urban Middle Class Home Buyer is facing. For 10 years we are now hearing about affordable housing and honestly, the Government has just done nothing about it which is visible on ground for a common man, its just more noise then actual action.
Keeping in mind, that we are all Tax payers and the Government has taken up around 11% taxes over and above the cost of the property, which means the cost of the property is 100 + 11= 111, over and above the Taxes one pays as an individual, its like double taxation. Keeping in mind a lot of factors, the FM must not ignore the Real Estate Sector and must take measure to make Housing affordable for Urban residents.
This budget is going to be very difficult for Mr.Arun Jaitley our Finance Minister and we have to wait and watch what unveils on 1st February 2017.
Sandeep Sadh - www.mumbaipropertyexchange.com