Q. How did you feel after becoming the President of Naredco?
Ans: It is a privilege and an honour to be the President of an esteemed organization like NAREDCO. NAREDCO is the true representative of the real estate sector and is playing a very vital role in the nation building. We, with the help of the Government, will do our best to safeguard the interest of all stakeholders and work for meaningful reforms for the growth of the sector. It is a humongous responsibility as President of NAREDCO.
Q. What is the role of Naredco in the Real Estate industry ?
Ans: As brought out, NAREDCO, is the apex body of real estate sector in the country. It has contributed in formulation of many legislations and policies for the sector through representations, recommendations and suggestions. NAREDCO has representation from almost every sphere of real estate sector including Government. NAREDCO works closely with the Governments at Centre and States and play a role in the growth of the country.
Q. How would you define the industry today?
Ans: Industry today is in slowdown mode because of shortage of liquidity, which has led to delay in deliveries and impacted customers sentiments. With economy improving, investments are likely to pave in and help in computing half finished projects. This would take maximum about a year and thereafter, industry is expected to do well. Seeing the real estate potential in the country, there are huge opportunity for the industry and the future looks bright.
Q. What challenges and strengths you are facing at your Real estate segment?
Ans: One of the biggest challenge for real estate sector is shortage of funds as a result of which there is huge backlog of incomplete inventories in housing segment, especially. The new reforms with respect to project approvals and financing are in the pipeline and real estate builders need some time to catch up. Confidence building of clients, which is shaken because of delay in deliveries, is the latest challenge. Strength of course is the commitment of developers to deliver. We are confident that every other will be normal in 6 to 8 months time from now.
Q. What steps do you take to regularize the real estate market from your end?
Ans: At NAREDCO, we have our Code of Ethics. Our members have pledged to follow the same. We strive to follow fair practices and ethical business tactics. We inspire them to fulfill their promises and provide quality services.
Q. What sort of problem Real Estate sector is facing from the Government Authorities?
Ans: The present Government is very proactive in bringing reforms for the betterment of Housing segment. In last two years many reforms with respect to development control norms, building bylaws, real estate regulation and ease of doing business have been brought about with a view to provide fillip to real estate development in the country. Government has also come up with new schemes for housing construction and infrastructure development. We hope that these would provide necessary fillip to the sector. Major issues which developers are facing are delays in project approvals and shortage of funds to finance real estate projects. Though, Government has started on positive notes, the results are yet to be seen.
Q. What will be the benefits of Single Window Clearance in your Real Estate industry for the customers?
Ans: The main benefit of time-bound Single Window Clearance is that all the approvals and permissions sought from local and central civic bodies and authorities will be received within 60 days. This eliminates human contact and red tapism. Single Window Clearance will save time and money and would go a long way in assisting builders to complete the project in time.
Q. What you have to say about those builders who are not fair in their commitment with the customers?
Ans: It is really unfortunate that the sector has players who are for some reasons or the other, are not able to fulfil their commitments. We urge them to adhere to building bye laws, rules and regulations and builder-buyer agreements, in a fair and transparent manner to gain the confidence of home buyers. Consumer protection laws are now assertive and stringent and will transform the sector appropriately.
Ans: We are willing to partner with the Government of India in the Affordable Housing Schemes with the carpet area of 30-60 sq mtrs. The government has already announced Income Tax and Service Tax concessions to builders in this segment. For the time being, this is the way to go and we stand by the Government.
Q. What are the urgent issues which require Government attention in Real Estate sector ?
Ans: The Ministry of Housing & Urban Poverty Alleviation is working towards framing of rules and regulations for the enactment of the Real Estate Regulation and Development Act, 2016. Single Window mechanism for project approvals and clearances in a stipulated time period is under finalization by Ministry of Urban Development. With these two reforms, the sector will be able to perform much better. These will also help in eliminating constraints related to funding of projects and help in timely completion of projects.
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