Indian real estate transparency improves on reforms
Series of policy initiatives and reforms are prompting improvement in transparency level in Indian real estate sector that has long remained opaque. Several measures including implementation of Real Estate (Regulation & Development) Act, 2016, land title insurance, the Benami Transactions (Prohibition) Amendment Act, aligning the sector with the Goods & Services Tax, demonetization, opening up of Real Estate Investment Trusts (REITs) have influenced India’s ranking in global real estate transparency.
India has emerged as one of the top 10 countries to have registered maximum improvement in transparency in real estate over last two years, showed JLL’s Global Real Estate Transparency Index (GRETI) 2018. The country’s performance over last two cycles of JLL’s GRETI indicates that it has moved up by five places to 35 since 2014 out of 100 countries that are mapped to over 180 parameters.
Private equity investments into property sector is one of the key indicators of the confidence of the investor community and the confidence is closely linked with the transparency of the property markets.