We are headed for interesting times in Mumbai, the GST impact is yet to kick in however, a lot of Developers have already announced GST rolled back offers, which only means, you pay 5% of Stamp Duty and the earlier 5.5% (4.5% Service Tax and 1% Mvat) so your tax obligation is restricted to just 10.5% which was earlier prior to the introduction of GST.
We do not know how long, this absorption will be done by the Developers, but the good news is that owing to this the markets have started moving a little, we can see traction in developer offices and the inquiries have gone up already by 50% or so over the past few days.
REPO Rate Impact
The Repo rate cut of .25 basis point will also add value to the Home Buyers and Developers in just a few weeks and we are anticipating another .25 basis point cut in the next few months.
The Modi Government has to go in for elections in around 20 months and this may be just the turning point of the cycle, where a lot of sops will be given in the forthcoming budget.
Stock Market Impact
The stock markets are performing well and the direct impact of the flourishing stock markets is always seen on the real estate markets, where people make money and eventually buy it for home. We are seeing increased inquiries from the financial world for genuine home buyers, who can perhaps get a good deal in this market.
Mumbai Metro Calibration Impact – How far is the Metro??
Mumbai Metro Development is going to be the biggest real estate driver. The upcoming metro is driving people to choose their locations based on their current offices, conveniences to School, College and other places.
So people, are getting more agile and asking How Far is the metro from the project???
This is a new thing which we have seen as more and more home buyers want to know how far they will be from the Metro. So as the Metro works start shaping up, you can see the prices in that location hardening. The Mumbai Metro works, will reshape the cities, real estate prices in 3 – 5 years. We are working on a detailed study for that and update you shortly.
What’s New at Mumbai Property Exchange with RERA
We have been working round the clock to add the RERA Registered Projects on our website www.mumbaipropertyexchange.com and be RERA compliant.
We have a separate section for all RERA approved Projects, with all the back links going to the RERA website, where in you can see the entire details of the projects, including Legal Issues,
We are also in the process of mapping up the Sold and Unsold inventory and deriving a % as to how much inventory is sold and how much is unsold, so as an investor or a home buyer, you have a sense of the % sold and at what stage.
If you are looking at any Property Investment, Buying a Home, Selling or Leasing your existing, Planning a Reinvestment or you are yourself in a Calibration and Consolidation mode then please do call us and we can together review your property holdings based on all the above parameters.