New Delhi: India's apex realtors group said it is disappointed with the government's measures to support the sector, as it did not address the key demands such as tax rebate and lower interest rate for home buyers and developers.
CREDAI's National Chairman Jaxay Shah said the fund created for completing the stalled real estate projects will have limited impact as it excludes those projects which are either facing insolvency proceedings or become non-performing assets (NPAs).
"Last month, we had met the finance minister and made several demands to improve liquidity and boost demand in the real estate sector. But, unfortunately our demands have not been met," Shah said on Sunday.
Reiterating the demand of the association that has about 12,000 members, Shah said the government should withdraw its decision to ban subvention scheme as it was for the benefit of home buyers and helped generate demand.
In July, the National Housing Bank (NHB) asked housing finance companies (HFCs) to "desist" from offering loans under subvention scheme, wherein real estate developers pay home loan interest on behalf of home buyers till possession of flats.