Budget 2013-14: What Budget 2013-14 can do for Pune real estate

The monetary authorities have already embarked on the right path by taking steps to increase liquidity in the system by reducing the CRR as well as repo rates and bank lending rates. This can boost investment volumes and general growth. What the real estate sector needs from the upcoming Budget is increased provisions for external commercial borrowings for low-cost housing, tangible tax relief for individuals, and a greater investment in infrastructure. An amplification of sops for loans low-cost housing would have a significant bearing on the Pune real estate market. Unlike in neighbouring Mumbai, budget housing is still a very real concept in this city. Incentivizing the development and purchase of affordable housing can make a big difference here. Increased infrastructure allocations would help the property markets in Pune's peripheral areas to develop faster, thereby providing more low-cost options to home buyers. Relief in terms of individual income tax also has notable implications for a city like Pune. Buying a home is still the highest on every Punekar's priority list, as is evidenced by the excellent performance of Pune's residential market in 2012. Increased spending power will have a direct effect on the city's residential property market by fueling demand for and purchase of homes. This will lead to more supply, which in turn can help in keeping prices rational. Source (Moneycontrol, 30 Jan 2013) : "Budget 2013-14: What Budget 2013-14 can do for Pune real estate."