The demand for residential properties is expected to receive a major boost following the Government’s decision to cut the Goods & Services Tax (GST) rates for under-construction projects to 5 per cent from effective rate of 12 per cent.

City’s leading real estate developer Anup Ranjan, director, Samay Construction Pvt. Ltd on Monday said that the move will play a key role in boosting the sector.

Prior to this, under-construction residential properties attracted rate of 18 per cent and effective rate of 12 per cent after factoring one-third abatement for the value of land.

Addressing a press conference, Ranjan said that the government’s move will help the sector to grow. He said that the move is expected to push demand in the segment which, in turn, will keep developers committed to build more affordable homes. He went on to add that the Government is playing a positive role.

In order to help home chasers get their own house, Samay Construction Pvt is offering a direct benefit of upto Rs five lakhs on every booking. Ranjan said that this is the best time to purchase a home. The company’s projects are located at Sahara River View Mango, Sahar Sunderban, Mango and Dignity Mango. People can get maximum benefits now.  

“We also want to inform buyers that the tax slab has been reduced and this will help home buyers and will play a huge role in boosting their sentiments,” said the director. The reduction in the GST for under-construction projects is the most decisive move that will stimulate the demand and sales. This move will give the necessary fillip to the demand in under -construction segment, which has been suffering from low sales levels for last many quarters.

Real estate industry is one of the most important pillars of the Indian economy. Real estate industry contributes between 6-8% to India’s Gross Domestic Product (GDP) and it stands second after IT industry in terms of employment generation.

“We are committed to creating business premises, residences, buildings and infrastructures that are known for their quality, distinct in design and elegantly crafted. With more than a decade of experience in creating residences and business premises, that are known for their quality, distinct in design and elegantly crafted Samay Construction Pvt. Ltd today is a reputed name in the field of real estate business.,” he noted.