Mortagage Finance In Real Estate Sector
The mortgage finance industry has been growing very strongly in India. It is one of the important factors which have caused such an amazing growth of real estate sector in India. There are various kinds of home loans available which can be used to purchase property, construction, home improvement, home equity loans etc. These loans are easily available through banks and financial institutions. The finance can be availed for all kinds of properties like residential, commercial, and industrial. These finance options are open for all salaried individuals, self-employed individuals, partnerships and even NRIs. There is different documentation requirement for each category of borrower.
India is doing great in real estate sector. This has further helped in growth of the overall economy. No doubt, there has been unprecedented growth in the real estate sector and that too in a short span of time. Similar to other sectors like Information & Technology, software and IT-enabled industry, today real estate sector has also become a profitable proposition. The Indian real estate industry is valued at $50 billion and this is expected to grow at the rate of 25 percent on annual basis.
The return on investment in realty sector is amazing and is far better than stocks, mutual funds, fixed deposits or any other investment option. The growth in real estate sector has been enabled by the home loan facilities made available by the banks and financial institutions. Everybody from individuals to corporate houses have availed the facility of housing loans to invest in properties. The growth in real estate sector is more visible in metros and big cities like Delhi, Mumbai, Bangalore but it is also catching up in small cities too.
The growth in real estate sector can be attributed to the increasing purchasing power and ample job opportunities in IT and IT-enabled industry India has become the investment destination and big multinational companies from almost all the sectors lead by software and IT-enabled companies want to establish their offices here. Most of the big names in the IT and BPO industry have established their offices in the metro cities. There is a huge demand for quality office spaces, commercial and residential properties. India has been successful in meeting the requirements of most of the aspirants.
This competition and huge demand has been instrumental in motivating the government to organize the real estate sector. The steps are being to make the realty sector more lucrative and transparent.