Pune: The newly-elected members of Credai Pune Metro said the real estate market could soon reach the level of sales achieved in 2019, but expressed concern over the rollback of incentives that had given a fillip to the sector after the first wave of Covid-19 infections.
They said that they plan to carry out a mass vaccination drive of construction workers in the Pune metropolitan region, subject to availability of vaccines.
Low rates on home loans and 3% stamp duty cut announced by the Maharashtra government had led to a boom in sales from September 2020 till the end of 2020-21 fiscal, with triple digit growth recorded in some markets, especially in Mumbai and Pune.
However, the decision by the state government not to extend stamp duty cuts beyond March has raised concern among some developers. “With measures like lower interest from banks and reduction in stamp duty last year, there were hopes for the industry’s revival. But banks have again increased interest rates, which can have an adverse effect on the sector. Around 250 allied industries and lakhs of labourers depend on the real estate,” said Anil Pharande, the new president of Credai Pune Metro.
Harsh Vardhan Patodia, the new national president of Credai, said that the market can recover fully to pre-pandemic levels. “Housing sales that fell 40-50% across 7-8 major cities last year due to the pandemic could bounce back to 2019-level this year, if there is no complete lockdown to curb the second wave of Covid-19. The importance of owning a home has also been propelled by the uncertainty Covid brought into people’s lives,” Patodia said.