How Union Budget 2017 affects HM homes?

Having witnessed a prolonged slowdown and hit hard by the recent demonetization drive, the real estate sector was betting big on the Budget 2017 for revival of fortunes. It was expecting, among other things, income tax incentives for first-time home buyers apart from higher tax savings on housing loans and house insurance premiums and industry status for the sector. However, the budget not only missed out on these things, but with its proposals it is also believed to have discouraged investors from investing in second or more homes.

First, the budget has proposed to cap tax breaks on interest paid on rented homes at Rs 2 lakh a year. Earlier the entire payment of interest on a housing loan taken to buy such a house was allowed to be set off from the gross income. Secondly, the budget has made a provision that payment of house rent exceeding Rs 50,000 a month has to be accompanied by a 5 percent TDS (tax deduction at source). This means that people who could have made substantial savings in taxes earlier by investing in more than one property can’t do so now. So, what does this mean to the people who used to buy homes for investment purpose?

Experts believe that this move will discourage speculative activity in a big way.

Hence, it is the best time to invest in HM Projects which are ready to move-in and have always targeted the end users. “Price” today is the King and more than ever before today , the price needs to be justified to the customers till the last rupee and it is simply “Paisa vasool” (Read: value for money).

HM Group through its Ready Homes Festival opens its inventory of ready to move in properties across Bangalore and owing to the uncertainty in the market, the customers have given a very encouraging response to the properties. Now is the time for properties that are meant for its end use and HM properties could just be the right fitment for the customers.