Relaxations given by government to boost real estate sector – September’ 2020

The Coronavirus outbreak has plunged the world into a crisis like no other and is the reason for one of the greatest economic slowdowns of all times, the real estate sector in particular got severely impacted.
Though, Covid-19 has made people realise the significance of owning a home in a safe and gated community.
Here are some relaxations given by the government:

Reduction in Stamp Duty
This was a much-awaited measure by the government of Maharashtra to combat with stamp duty collection touching a historic low, amid the Coronavirus-induced lockdowns.
To give the real estate sector a boost, the state government decided to give a temporary reduction in stamp duty with variation in two periods; starting 1st September 2020 – 31st December 2020 and 1st Jan 2021 – March 2021, this will also help enable attractive savings for home-buyers.

Reduction in Interest Rates on Home Loan
As per the latest advancement, the interest rates on home loans have been slashed. Industry experts suggest that the unpredictable market and underachieving mutual funds have raised the need for a stable asset investment that can yield better returns on investment.
And what better way to get assured ROI while you get ownership to a home? As the billionaire Andrew Carnegie rightly said, 90% of millionaires got their wealth by investing in real estate.

Reduced EMI
With the reduction in interest rates on home loans, it will also help in bring the EMI payments down.
Investment in East Pune is lucrative around this time. Being a well-known information technology and automobile hub, the city attracts job seekers from around the country.
For investors – your investment is sure to bring you a good source of second income from rentals as migrant are always on the look-out for good rental properties, thus helping with your EMIs payments.

Force Majeure
COVID outbreak practically brought construction work to a relentless halt and the chaos of migrant labourer’s movement and raw material supply disruption.
Force Majeure or Act of God has been defined as an event or its effects that can neither be anticipated nor controlled. The clause empowered the state regulatory authority to extend the timeline of completion of projects by 6 months, the grace period provided by RERA helped developers in combating the on-site challenges.

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