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Indian Banks demands Developers to trim Project rates

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Now it’s time for the banks and private equity funds to ask developers to decline property rates, after the union government turn. As said by the bankers, the demand still exists in the residential sector, but, because of high land rates it is keeping the customers away from purchasing.
Chairman of Mortgage Lender Housing Development Finance Corp Ltd. (HDFC) said to www.propertykhazana.com that, “Even if industry helps out to program and lessening of lending norms, constructors are declining to cut the puffed up land rates.” He is also a chairman of advanced task force on reasonable residential development by the ministry of residential and urban poverty alleviation. He also added that, “There is nothing else wrong than saying that people are not purchasing residence, as of economic downturn and the demand has dropped, it is the residence rates which have not dropped sufficiently.”
But, realtors say that it was hard to get funds for new ventures, as banks and private lenders rising up with new settings.
Chairman and Managing Director of Omaxe Ltd. said to www.propertykhazana.com that, “But for easing off demand and cash flow crisis, banks and private lenders are placing up new terms and conditions for funding.” Chief developers have come up to the banks to reorganize their loans, he added. For more and latest realty updates follow us at www.propertykhazana.com.
Source: NBTVLIVE

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