Ansal Properties & Infrastructure, Marathon Nextgen Realty, DB Realty, Purvankara, Housing Development & Infrastructure (HDIL) and Sobha were down in the range of 4 per cent to 6 per cent on the BSE. DLF, Oberoi Realty, Indiabulls Real Estate and Prestige Estates were down 1 per cent each.
At 12:41 pm; the S&P BSE Realty index was down 1.2 per cent, as compared to 0.48 per cent decline in the S&P BSE Sensex.
The realty index had outperformed the market by gaining 3.5 per cent in past nine trading sessions of calendar year 2019, on hopes of cut in the GST rate for under construction and finished houses to 5 per cent. In comparison, the benchmark index was up marginally by 0.11 per cent till yesterday. DLF, Oberoi Realty, Sobha and HDIL from the index were up between 3 per cent and 7 per cent during the period.
The GST Council on January 10 referred the matter pertaining to the real estate sector to the Group of Ministers, the composition of which is expected to be announced soon.
According to PTI reports, referring to the decision of the GST Council to set up a 7-member Group of Minister for deciding on tax rate for housing sector, Tulip Infratech CMD Parveen Jain said if the input tax credit (ITC) is not allowed on under construction real estate projects, the sale prices would go up. CLICK HERE TO READ FULL REPORT