Many register the land for lower value because it reduces capital gains tax, writes C.H.Gopinatha Rao
Many often ask why the registered value of the land should be considered for assessing the value for property and not the market value.
Given the fact that the registered value in most of the cases is less than the market value, it does not help in enhancing the value of the property for mortgage and other assessment purposes. ...
Stocks of realty firms that pared early gains and plunged as much as eight per cent on the Bombay Stock Exchange after the interim budget dashed hopes of any sops for the sector.
Market watchers said that the interim budget belied investor expectation of policy changes in the interest-rate sensitive sector and sectoral index took the worst hit on the bourses.
“We were expecting that realty, auto or textile sector to get some incentives but nothing materialised...this has triggered a major selling bout in the market. Now investors will have to wait for another 3-4 months for the real budget post the elections,” Geojit Financial Services Head of Research Alex Mathews said. ...
N.Panneer selvam availed home loan from a public sector bank. The economic downturn and job uncertainties compelled him to rethink his home loan repayment plans. He wanted to restructure it and made a request to the bank. To his surprise, the bank agreed to add five years to his repayment period.
This reduced his Equated Monthly Installments (EMI) and made it possible for him to pay. “I am relieved," says the visibly happy Pannerselvam. "The restructuring process of housing loans is the most important thing happening now. We are doing it vigorously taking a sympathetic view of our customers position," said J.Chandrasekaran, Chief General Manager, Local Head Office, State Bank of India,
The State Bank of India has carried out rephrasing or restructuring of more than 12,000 home loans of its customers in the past two weeks in Tamil Nadu. "Our bank has done rephrasing of loans for more than 1,500 home loan customers in and around the city in the past 15 days," said Mr.Chandrasekaran. ...
A clear picture of the housing sector is yet to emerge after the rate cuts and fall in property prices. But banks are more cautious in sanctioning loans, says SHYAMA RAJAGOPAL.
As the property and real estate boom has tapered off, riding on global sentiments, the banks experience a lower demand for housing loans, though interest rates have come down of late — in some cases to single digits. It is a time of uncertainty those looking for a house of their own as well as the banks.
When assessing the creditworthiness of loan applicants, banks are cautious, as they have to factor in downsizing and salary cuts, especially in the information technology sector....
Banks have played a significant role in the growth of the real estate sector in Kozhikode city.
However, the slowdown in the Indian economy recently has forced commercial and nationalized banks to tread carefully in funding housing projects.
Stricter norms have been adopted in disbursement of loans. Most banks are hesitant to lend as the memories of the sub prime crisis in the U.S. linger. They do not want to increase non-performing assets by offering loans to people having no repaying capacity....
