How Will REITs Benefit The Indian Property Market?

How Will REITs Benefit The Indian Property Market?

With the possibility of the enactment of Real Estate Investment Trusts (REITs), the investors are surely thinking as for how REITs will benefit the Indian property market. Basically, the act has been developed to empower the industry to acquire liquidity for projects. Not just this; the pertaining benefit can extend towards crossing trillion-rupee mark in terms of the property listing. Well, the REIT is all about listed entities gearing up to invest in retail assets as well as the leased office. Intended to revolutionize the way of investments and dealings between parties, REITs will open gates for the authentic availability of funds that would fuel the growth of investments in the real estate sector.

Another good thing associated with the channelization of REITs is that it will increase transparency in terms of dealings and organize the market scenario in a better manner. It has been seen in the past that investors have hesitated to invest in the real estate sector of India, which affected the overall economy too. With so many complaints coming from the investors in times of hidden costs or absence of information, the conceptualization of REIT is the right decision. In order to make it effective, the government has been introducing various provisions and concession programs. Certainly speaking, the enactment of REIT and RERA will make the market clearer and get methodical approach.

There are chances that the Indian real estate market would witness a tremendous surge that enables investors to secure their investments in real estate. In fact, they would feel much safer and get tremendous opportunities to have a fair idea of the property bought. The introduction of REIT in the Indian real estate market will enable numerous types of investors to get detailed information about the property. It tends to necessitate that the builders are required to present in-depth details of the project to its investor. Indeed, the brighter side of the introduction of REIT is that the capital collected through investments as per REIT would be used for generating income from commercial properties.

 

 

 

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