PANAJI: Housing loan interest rates need to ease in order for the real estate market in Goa and in the country to improve, and when it does improve it will have a significant impact on India's economy, said Rohit Gera, vice-president of CREDAI (Pune) and managing director of Gera Developers.
Gera, however, expressed disappointment with the Union Budget for 2015-16 presented by finance minister Arun Jaitley on February 28 as it lacked a strong push for the residential real estate market. "The Union Budget for 2015-16 has completely ignored the residential real estate market and there is a total lack of any push for the housing sector," Gera said. "We hoped for increased deduction towards home loans amongst other things to give an impetus and augment growth of the industry." Gera did acknowledge that the proposed additional investments in infrastructure will further improve the economy and would definitely have a trickle-down effect on customers, who will eventually buy homes.
Regarding the real estate sector in Goa, Gera confirmed that overall sentiment remained quite poor with the Panaji market sluggish on the residential side, while the commercial space was suffering much more, especially in the far-flung areas. He did believe that the real estate industry had the potential to boost the economy and that once tourism and mining resumed, it would give a fillip to the Goan economy.
Gera went on to add that sensing a potential in the tiny western state, the company
was looking to expand to other parts of Goa and were in the process of assessing certain specific locations.