Vineet Nalawalla, Partner, Veritas Legal
Removal of GST on under-construction properties has been a longstanding demand of the industry and the industry hopes that the forthcoming budget would address this issue and bring under construction properties on parity with the ready homes. Removal of GST coupled with reduction on stamp duty rates and low home loan interest rates will incentivise buyers and investors to purchase property.
In addition to what is stated above, high land cost and development premiums payable by the developers has significantly increased the cost of construction. Revising the land reckoner rates and reduction of development premiums payable to authorities will help in reducing the cost of construction and in turn result in lowering the property prices.