Latest news with #Rs10-20
Gulf Today
05-07-2025
- Business
- Gulf Today
India's luxury housing market experiencing a robust growth
India's major eight cities recorded a sale of 170,201 housing units in H1 this year with high-end housing priced above Rs10+ million notching up a robust growth rate of 17 per cent YoY in sales, according to Knight Frank India's periodical survey. New launches at 179,740 units continued to exceed sales during the period, demonstrating developers' continued confidence in long-term demand fundamentals. There is yet another reason for this trend. The uptick in affluence besides India's share of HNIs and UHNIs which is likely to increase from 3 per cent to 9 per cent by 2034. Mumbai remained the largest residential market by volume with sales remaining stable in YoY terms, while NCR (-8 per cent) and Bengaluru (-3 per cent) recorded marginal corrections in sales volumes in H1 2025. Chennai was the only notable exception recording a rise of 12 per cent YoY in H1, 2025. In a significant development, sales in Rs10-20 million rose 8 per cent YoY whereas sales in Rs20-50 million surged 29 per cent YoY in H1. While sales in Rs50-100 million jumped 19 per cent YoY, the trend in sales in the unit price range of Rs 100-200 million rose 128 per cent YoY. To cap it all, luxury housing units in the price range of Rs 200-500 million doubled YoY. NCR-Delhi topped the ultra-luxury housing sales pushing Mumbai to the second slot. Gurugram leads the ultra-luxury segment sales in India. The most noteworthy trend that has prevailed is the premiumisation of the residential segment across the markets. 49 per cent of all home sales were for homes costing Rs 10+ million and above which saw sales of 83,433 units across the key markets, while 51 per cent was in the category of up to Rs 10+ million with sales amounting to 86,768 units in H1 2025. In the housing segment costing less than Rs10 million. Mumbai was the highest contributor with sales of 30,333 units followed by Ahmedabad which recorded sale of 18,083 homes in this price category. 'The residential market in H1 2025 reflected a nuanced shift where premium and luxury segments continued to thrive, even as lower value segments showed signs of continued moderation. Besides, RBI's cumulative 100 bps policy rate cut, and improved liquidity will further help in supporting housing demand, especially at the lower and mid value categories. We expect that these congenial factors along with a positive economic environment will provide longer legs to this market, said Shishir Baijal, CMD, Knight Frank India'. Homes costing less than 50 Lakhs has seen a steady decline in sales. On a pan- India basis, in H1 2025, sales of homes costing up to INR 50 lakh were recorded at 37,796 units, lower by 18 per cent YoY and by 43 per cent since H1 2028. In Bengaluru, this category recorded sales of only 1,583 units indicating a drop of 18 per cent YoY for H1 2025 but when compared to H1 2018, the decline is a significant 85 per cent. The primary challenge for this category has been the declining supply of new homes. H1 2025 saw a total supply of 30,806 units registering a YoY decline of 31 per cent. This is lower than sales by a significant 23 per cent and corroborates the rationale that the dearth of viable supply is a major challenge here. The weighted average prices across the markets saw a rise in H1 2025 both in YoY terms as well as sequentially over preceding 6 months period. Mumbai saw a rise of 8 per cent with the weighted average going up to INR 8,532 per sqft. While NCR (INR 5,535/ sq ft) and Bengaluru (INR 7,052 / Sq ft) both registered a rise of 14 per cent YoY. The Hyderabad market saw a rise of 11 per cent in weighted average prices for the city which was recorded at INR 6,326 / sq ft. These notable rises across the markets have been the result of larger inventory launches in higher value homes in the recent times which has moved the averages northwards. I have been looking at additional investment in real estate. Is current trend of tax benefits favourable for real estate investment? Ashita Aju, Sharjah. Yes. NRIs are eligible for tax benefits on rental income from their properties. They can claim deductions for home loan principal repayments and interest payments. Additionally, the Double Taxation Avoidance Agreement (DTAA) ensures that NRIs do not have to pay tax twice on the same income, making real estate investments more tax-efficient. Tax treaties with specific countries like UAE might offer further benefits. I have invested in real estate in India and planning to mortgage to raise short-term funds. Does it require approval from the authorities? Please clarify. Amit Kak, Sharjah. You can mortgage the commercial property to an authorised dealer/housing finance institution in India without the need to get any approval from the authorities. You can also mortgage to a party abroad but with prior approval of Reserve Bank of India.
Express Tribune
17-06-2025
- Politics
- Express Tribune
Metro fare cut sparks funding debate
The recent rollback of the Metro Bus fare from Rs100 to Rs50, following public outcry and the prime minister's intervention, has offered immediate relief to thousands of commuters in Islamabad and Rawalpindi. But behind the applause lies a more complex challenge: how to sustain quality public transport while keeping it affordable for the masses. Initially, the Capital Development Authority (CDA) defended the 100% fare hike as a necessary response to rising fuel and maintenance costs. The aim was to maintain the Metro's standards, cleanliness, punctuality, air conditioning, and consistent service, which many consider superior to other public transport options. However, the sudden doubling of fares triggered backlash from students, daily-wage earners, and elderly citizens who rely on the Metro for their essential travel. "I spend Rs3,000 a month just commuting to work," said Ghulam Abbas, a construction worker. "That's a major hit to my grocery budget." Similarly, schoolgirl Asma shared with this scribe how she considered skipping lunch to manage travel costs. The government ultimately reversed the decision on June 5, reinstating the original Rs50 fare. Commuters welcomed the move, and for many, it reaffirmed faith in responsive governance. But this solution, while popular, raises an important question: can the Metro sustain quality service on its current fare model? Metro drivers, too, expressed concerns, not just about wages, which remained unchanged, but about increasing frustration from both management and passengers. "The fare change came overnight," said driver Zahid Khan. "We didn't get more pay, and now we're blamed when people are angry about delays or crowded buses. From a sustainability standpoint, experts argue that rather than doubling fares in one go, a phased or incremental approach would have been more practical and politically acceptable. "Even a Rs10-20 quarterly increase, spread over time, would be easier for people to absorb and for the authority to justify," noted a senior urban transport planner. While affordability is vital, especially during times of inflation, so is the long-term health of the transit system. A sharp rollback without any adjustment plan may risk underfunding maintenance, delaying upgrades, or cutting services in the future. Already, questions are being raised about whether buses will continue to be as clean, on time, and safe if funding gaps widen. Senior citizens like Rukhsana Bibi, who travel regularly for medical needs, suggested middle-ground solutions. "Maybe there could be concession passes for students, pensioners, and laborers, while others could pay slightly more." Such targeted subsidies could help balance the financial model without punishing the most vulnerable riders. Raziq Ali, who travels daily from Jinnah Garden to Islamabad G-7, and Hasnain Raza, a frequent commuter from Gulberg Greens, both agree that the Metro Bus is an affordable and comfortable option. However, they warned that a sudden 100% fare increase would push many to switch to bikes, which are cheaper but come with safety risks and are uncomfortable in bad weather. A gradual, balanced fare increase, aligned with inflation, fuel costs, and service improvements, can ensure the Metro's long-term sustainability without burdening commuters. This would help maintain vehicle conditions, service quality, and fair employee pay.
