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Realty shares trade weak after status quo on GST rate

Ansal Properties & Infrastructure, Marathon Nextgen Realty, DB Realty, Purvankara, HDIL and Sobha were down in the range of 4 per cent to 6 per cent on the BSE.

SI Reporter  |  Mumbai 

real estate, housing, realty, home, building
Positive impact of the policy reforms, including RERA and GST, have begun to bear fruit

Shares of real estate companies were trading weak and falling up to 6 per cent on BSE in the intra-day deal on Friday after the (GST) Council on Thursday deferred a decision on a tax rejig for residential properties.

Ansal Properties & Infrastructure, Marathon Nextgen Realty, DB Realty, Purvankara, Housing Development & Infrastructure (HDIL) and 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 index was down 1.2 per cent, as compared to 0.48 per cent decline in the S&P BSE Sensex.

The 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 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, and from the index were up between 3 per cent and 7 per cent during the period.


The 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 Council to set up a 7-member 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

First Published: Fri, January 11 2019. 13:07 IST
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