Budget 2015-16: Should Focus on Easing Interest Rate

Kamal Khetan, CMD, Sunteck Realty Ltd

Pacing up infrastructural development should be the primary focus of the government. Infrastructure is important when it comes to real estate development being viable not only in new micro markets but also in established micro markets that have witnessed stagnation on account of an infrastructure deadlock.

Easing interest rate should be another primary focus of the union budget. Real estate industry would be positively affected by it as cutting down interest rates means an increased liquidity flow in the economy. Consequently, real estate will reap rich dividends. Moreover, if banks cut down the loan interest rate, buyers with disposable income would invest in the realty sector.

Prithvi Raj Kasana, MD, Morpheus Group

The government must focus on and ensure smooth operation of the budget session this year and try to pass as many bills as possible as the market sentiment will be determined to a large extent by how this session directs the way.

Most eyes are set on the reduction of home loan rates so as to provide the required push for the sector and this budget; the chances are very high that the new government might get it done also.

Rajesh Goyal, MD, RG Group

A very prominent reason, why people hesitate in buying a property is due to the affordability. Even after borrowing from the banks, the EMIs due to interest become heavy on the pockets.

This budget the new government must have this as primary aim to reduce the burden of the buyers by reducing the home loan rates. This will greatly benefit the sector as more buyers will become available in the market. At the same time, regulator for the sector will be able to remove the glitches pertaining here.