India has begun offering incentives meant to increase the number of women buying property in the country. So far it appears that the incentives are working. Historically women have had trouble getting loans, and if they could get a loan it was likely at a premium to what their male counterparts might receive. For more on this, read the following article from Property Wire.
A higher real estate tax rebate and cheaper loans for women in some parts of India is increasingly attracting the fairer sex to invest in property, it is claimed.
Potential female buyers can benefit from tax exemptions, lower stamp duties and easier availability of home loans, according to Aman Gehlot, director of developers Ambience Group, which has noticed that a large number of single women are now inquiring about buying a dream home from developers.
He points out that states such as Uttar Pradesh, Delhi, Orissa and Punjab have reduced rates for women. A lower stamp duty rate helps in saving on the overall costs while purchasing property, thus acting as a significant boost for prospective women buyers.
"Several states charge lower stamp duty on properties to women as compared to men. Women even enjoy the benefit of a higher tax rebate as compared to men. These factors act as a great incentive for women keen to buy property," he said.
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There have been many other factors that have encouraged women to become interested in buying property. The emergence of the new breed of women achievers who place career before marriage, the desire for self-acquired security and awareness of tax benefits has fueled interest levels. Plus, the lack of hesitation showed by banks in lending to women is an added bonus.
"Women, regardless of whether they are married or single, face no specific problems in obtaining property loans today," said Raminder Grover, CEO (Homebay Residential) of global real estate consultancy Jones Lang LaSalle Meghraj.
"It is true that banks were earlier hesitant about granting loans to single women since they saw a possible loss of income and therefore inability to service the loan following marriage. However, this is the age of double income families and such misgivings are a thing of the past. Many banks also have special schemes for women and offer discounts of around 0.25 percent," he added.
Developers confirm that interest from women is increasing. Omaxe, Ambience Group and CHD Developers all said that the number of queries from women has been increasing.
"More single women are now coming forward to invest in real estate. About 15 to 20 percent of all inquiries we get are from women and almost half of these are unmarried," said R K Mittal, CMD of CHD.
"Women today are on the same professional, personal and financial platform as men. They are independent, earning high salaries, driving their own cars, and have an impressive lifestyle full of luxuries. Owning a house makes them feel safe and secure for the future and serves as a wise investment option," he added.
"Today, more women are buying their own homes. We are getting more queries from prospective women buyers now," said Rohtas Goel, CMD of Omaxe.
Such is the increase that developers are considering incentives aimed at women. "All developers instinctively or consciously factor in some basic considerations while planning their projects. For instance, every developer knows that it is the woman, and not the man, who has a deep, practical knowledge of what is and what isn’t required in a home. In that sense, every residential property is fundamentally designed keeping the women in mind," said Grover.
This article has been reposted from Property Wire. View the article on Property Wire’s international real estate news website here.