#WeeklyNewsRoundup: Housing Prices Saw Moderate Growth In Past 5 Quarters, Says RBI
Description
Despite higher housing credit growth and better bank lending rates, house prices in the country have been cooling in the past five quarters, according to the Financial Stability Report released by the Reserve bank of India (RBI). The all-India housing price index reduced to 5.3 per cent during April-June, 2018, while housing credit also declined to as compared to 2015, shows the report.
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A tighter liquidity condition would lead to housing finance companies (HFCs) losing their market share to banks amid slow growth in the current financial year, rating agency ICRA has predicted. With loans extended to construction projects turning bad, the liquidity crunch could turn out even more severe than it is now, says the rating agency.
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To prevent fraudulent property registrations, the registration department in Chennai will soon start video recordings of the process to buyers and sellers at all sub-registrar offices. The recording will serve as evidence and a second layer of protection for buyers and sellers.
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Owners of about one lakh unauthorised buildings can heave a sigh of relief as the Punjab Cabinet has approved a one-time settlement of non-compoundable violations till June 2018. These structures would, however, have to meet fire safety and parking norms to get regularised.
Source: Media reports