Renowned Chennai builders have since witnessed rising demand for residential properties, especially in Central Chennai. Hence we can safely say that although the beginning of 2017 seemed a bit sluggish for the real estate market in Chennai, the recent policy changes are looking positive for the future, with results beginning to show in the second half of 2017 itself.
Important policy changes
Demonetization created a huge furor among all sectors of the economy, real estate included. Apart from demonetization, many acts were passed recently such as RERA, Benami Transaction Prohibition Amendment Act 2016, amendments in REITs regulations and GST, which ultimately aim at digitizing land records and changing arbitration norms for the construction industry. The policies will prove to be big game changers for the real estate industry in 2017.
Commercial real-estate on the rise
Demand for office space has been on a steady rise owing to Chennai being a technology driven market. Chennai's commercial real estate interestingly stands unaffected by demonetization and other policy changes, with office absorption of 40 million sq.ft. As a result, rents are expected to go up further than it already has.
Near future expected to be a buyer's market
Lower interest rates for home loans and builders competing to offer the best rates for interested buyers make this a great year to invest in residential real estate. Ready-to-occupy homes are trending as new launches take a backseat.
The future is looking sunny for the real estate market in Chennai. The policy changes, including the much-debated demonetization, have only proved to be a boon for the long-term development and growth of this sector.