Subsidised loans for small urban housing could be a big kicker for real estate sector: Mahantesh Sabarad

economictimes.indiatimes.com:

Mahantesh Sabarad, Independent Market Expert, says the first reaction to that subsidy scheme on home loans is “let us wait and watch what the scheme details are before we jump into the NBFC bandwagon but the banking sector definitely will benefit, typically the PSU banks having the largest reach when it comes to home loans would typically gain.”
What is your view on the real estate sector? It has been reported that the Indian government is considering spending Rs 600 billion ($7.2 billion) to provide subsidised loans for small urban housing over the next five years. Banks are likely to roll out the scheme in a couple of months, ahead of key state elections later this year and general elections due in mid-2024. How big a fillip could this be?
A great kicker could come for the real estate sector if that scheme becomes a reality soon. I guess that typically the real estate market always relies on a lot of incentive-based kind of selling and if we are going to have a government incentive or a subsidy coming in on the interest side, it should give a great deal of fillip to the real estate sector and that is positive news.

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