Realty News Roundup: SBI Brings Little Cheer To Home Buyers; Home Demand To Improve Marginally During Festivals, Says Sunil Mantri

Realty News Roundup is PropGuide's selection of top stories from the real estate sector.

Top News

After lowering lending rates by 40 basis points (bps) last week, State lender State Bank of India (SBI) has set its new home loan interest rate at 9.55 per cent for men, and 9.50 per cent for women. Reports suggest this would mean an actual reduction of only 20 bps in home loan interest rates for buyers. Read more.

Reports say this festive season will see a marginal improvement in demand for homes. “There are a few positives in the realty sector which could drive demand. Not only have interest rates on housing loans declined but property prices have also softened. There are a lot of freebies being offered by developers and it is a good time to purchase property,” says Sunil Mantri, chairman, Mantri Realty, in this report.

Another report suggests that builders sitting on huge inventories are hoping festive discounts and freebies will help fence-sitters take a decision.

Business Line reports that about 25-30 per cent of enquiries and transactions in Indian real estate are coming from abroad. Real estate developers and aggregators are now increasingly targeting Non-Resident Indians (NRIs). “Luxury homes across India have witnessed an appreciation in prices over the past few quarters, despite the overall residential market remaining very soft. By listing our high-end properties on Mansion Global, PropTiger.com and Makaan.com are now targeting a wider audience of potential NRI buyers,” Dhruv Agarwala, CEO, PropTiger.com and Makaan.com, says in this report.

Off the front page

According to a Mint report, Mumbai-based Lodha Developers has set an earning target of Rs 9,000 crore in the financial year 2015-16. The company aims to deliver 6,000 homes this financial year. The company earned about Rs 7,800 crore in new sales and sold around 5,500 homes in FY14-15. For more news on investment and transactions in realty business, click here, here and here.

Latest in the digitisation processes in the Indian real estate sector, the Mumbai Slum Rehabilitation Authority has announced it would digitise all its records and documents. It will also launch a mobile app for tracking progress of its projects. Read more.

The Mumbai Metropolitan Region Development Authority (MMRDA) has given its nod to an extended time limit for constructions in Mumbai's Bandra-Kurla Complex (BKC). From four years, the time has now been extended to six years. The proposal will also make payment of fees for allotment of plots easier. Read more.

Opinion

Manish Shah, Co-Founder & CEO, Bigdecisions.com, explains why it is a good time for buyers to switch their home loans. Read more.