Invest in real estate: Areida
Guwahati, Nov. 25: A property developers' association today pitched for people to invest in real estate post-demonetisation.
President of the Assam Real Estate & Infrastructure Developers Association (Areida) P.K. Sharma told The Telegraph that banks are now mulling to lower the interest rates on home loans while the deposit rates have gone down. "It is the best time for those with hard-earned money to invest in real estate," he said on the sidelines of the four-day property expo organised by Areida, which began today at Deshbhakta Tarun Ram Phookan Indoor Stadium here.
Over 1,000 properties, including apartments, commercial spaces and allied products likes paint, tiles, water purifiers, home furnishings, cements, wires and cables, are on display at the event while banks and financial institutions have also set up stalls.
Sharma said post-demonetisation, the demand for middle and lower segment property is on the rise in Guwahati while demand for high value or premium property has declined.
Sharma said value appreciation of property was always higher and property assets were more secure than bank deposits or investment in stock exchange. "Value of real estate will continue to grow. For example, an apartment in Beltola area here cost Rs 600 per square feet 10 years ago. Now the price per square feet has increased to Rs 6,000. Hence, value addition in the principal of property investment is tremendous," he said.
Sharma said value appreciation of gold, too, was uncertain. "Considering these aspects, we have organised the property expo. This will not only help people get information of real estate at one venue but provide the facility to know about new loan benefits from the banks. Visitors will be able to compare value and location of one property with another one," he said.
Sharma called upon prospective home buyers and investors to visit the exhibition and take the opportunity of studying the entire range of available options in the property market and avail special discounts and spot sanction of loans from participating banks.
A State Bank of India branch manager told The Telegraph that SBI has already announced that the rate of interest for home loans will come down because of demonetisation but it is yet to be effected as the banks are struggling to tide over the currency crisis.