Impact of New Policies on Real Estate Market: A Study in Bangalore

Real Estate is one of the main and important sector in which all the developing and developed countries focus and concern about. Real Estate measures the infrastructure of any country and make it strong and attract more and more investment from the other developed countries. Real estate sector makes the economy of any country strong.The Real estate sector is mainly divided into two parts, Real Estate Construction and Real Estate Consultant. The real estate sector is amongst the most known and recognized sector.In India, after agriculture Real estate is the sector which provide the second largest employment and it is estimated that by the next decade it will grow with the rapid growth of about 30%. The real estate is further divided into four sub sectors - housing, retail, hospitality, and commercial. The growth and investment in corporate atmosphere, and the demand in urban and semi-urban areas for office space sets the parameter for well growth in this sector.The construction industry also plays a major role in the boom in all of the economy sectors. It is ranked 3rd among the major 14 sectors of the economy. This is also estimated and expected that in both the short term and long term the real estate sector incur more Foreign Direct Investment and Non-resident Indian investment. Bengaluru is expected and considered to be the most preferred and demanding property investment place for NRIs and FDI , followed by Ahmedabad , Pune, Chennai, Goa, Delhi and Dehradun In the country’s Gross Domestic Product (GDP) the housing secor of real estate alone contributes around 5-6 percent. The market share of real estate is growing with a rapid growth rate and by 2022 it will become the 2nd largest employment provider sector. It is also estimated that size of the market will increase at compound annual growth rate. The other sub sectors of real estate such as Retail, hospitality and commercial real estate are also growing rapidly and significantly, providing and contributes the much-needed and awaited infrastructure for India’s increasing demand and needs. In commercial real estate investment Mumbai in India is considered as the best city and estimated to give a return of 13-22 percent in the upcoming five years and the other big emerging cities are followed by Bangaore, NCR Delhi, Pune, Ahmedabad and Hyderabad. In the past ten months the second most active sector; real estate has raised a fund of US$ 1.2 billions from Private Equity investors. The present study where be focuses Impact and Implementation of New Government Policies on Real Estate Market: A Study in Bangalore