Budget Reaction Quote on Real Estate Sector by Saurabh Runwal, Director, Runwal Realty
Below the Budget Reaction Quote on Real Estate Sector by Saurabh Runwal, Director, Runwal Realty
"We applaud the Government and Hon’ble Finance Minister, Smt. Nirmala Sitharaman, for presenting a Budget that prioritizes economic growth. The substantial increase in the TDS threshold for rental income - from Rs.2.5 lakh to Rs.6 lakh - is a welcome move that will provide much-needed relief to both landlords and tenants. By reducing the TDS burden, this initiative is expected to stimulate the rental market, encourage greater investment in rental properties, and expand the overall supply of housing. It also has the potential to drive homeownership with rental intent, particularly benefiting the affordable housing segment and contributing to the sector’s growth.
Furthermore, the increase in the income tax exemption limit to Rs.12 lakh will result in higher disposable income for a significant portion of the population, fostering greater consumer spending and economic momentum. This improved affordability is likely to accelerate investments in real estate, strengthening the sector’s expansion and resilience.
The relaxed tax brackets are expected to significantly boost consumer confidence, particularly among homebuyers. With higher disposable income, individuals will have greater purchasing power, likely leading to an increase in home buying activity across the country. This positive impact is anticipated to be particularly pronounced in suburban areas of major cities like Mumbai, Pune, and others. These locations have recently witnessed a surge in demand driven by factors such as the availability of spacious homes, improved connectivity, and overall socio-economic development.
Overall, this Budget sets a positive tone for the economy, empowering citizens with financial security and fostering smart investment opportunities."
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