With the introduction of policies like Real Estate Regulatory Act (RERA), Goods and Services Tax (GST), and demonetization, the Indian real estate sector has undergone major reforms. It has been endeavoring to adapt the regulatory changes implemented by the government.
While the entire country still has a sluggish realty market, Mumbai is witnessing a recovery vis-à-vis property sales. With favorable policy changes, the development of new projects has also augmented. It led to a rise in the number of people interested in buying and selling property. Other than that, the property rental business in the city, has also observed an upsurge.
During the October-December quarter of 2017, Mumbai recorded a hike of 3 per cent in the rentals. Owing to the modifications in some popular residential spaces of Navi Mumbai, the city is coming to a better state, as compared to other metro cities.
A bracket of several world-class developers — Sunteck Realty, Oberoi Realty, Lodha Group and K Raheja Corp — are bringing standard property developments in the real estate sector of Mumbai. Based on the concept of affordable luxury, the projects by these developers are attracting both buyers as well as the property dealers.
Several start-ups are showing keen interest in diversifying Mumbai’s realty market. They are striving to make the process of searching and purchasing a property manageable in the metropolitan. Entering the market, Start-ups like ZipGrid, Nestaway, Piramal Realty and GrabHouse, are making real estate properties accessible for the people.
Moreover, with the establishment of companies like Housing.com and Nestaway, the market is turning favourable for the buyers. Real estate developers have also been evolving themselves according to the new market trends.
Several authoritative heads, including the young real estate pioneers like Neel Raheja, the President of NAREDCO West, Kamal Khetan of Sunteck Realty, and Abhishek Lodha, MD of Lodha group, have been encouraging the idea of realty start-ups in the city. Besides, they have also been embracing the new policies initiated by the government.
Talking about the utility of the Mumbai Development Plan 2034, Neel Raheja, the President of NAREDCO West, said, “The success of RERA coupled with the recently announced Mumbai Development Plan 2034 will improve sales of the residential projects and instil confidence among homebuyers. Addressal of consumer grievances and setting up of RERA not only in the big cities but also in the rural area will be highly successful and constructive for the industry.”
Emphasizing on the need of affordable housing, Kamal Khetan also commented on the outlook of Sunteck on high potential in Naigoan – “which has not seen the expected property price increase though it is near to Mumbai than either to Vasai or Virar.”
An outright focus of different developers in the Mumbai Development Plan and affordable housing in the city, have been a catalyst in the emergence of start-ups in the sector. Owing to these apparent changes, the government is likely to implement certain plans and policies to support this change.
Increasing accessibility of mobile apps is yet another robust change in the realty sector. It can give space to many more start-ups in the upcoming years.
Certainly, Neel said that these developments in Mumbai’s realty market are bound to enhance the living standards of the city. It is likely to draw more investments in the years to come.