 "Realty stocks rally on Budget boost")
Shares of real estate companies were trading higher for the second straight trading sessions after the Union Budget presented by Finance Minister Arun Jaitley on Monday has assigned special thrust to rural India, infrastructure, real estate and the housing sector.
DLF, Unitech, Indiabulls Real Estate, DB Realty, Housing Development & Infrastructure (HDIL), Phoenix Mills and Oberoi Realty from the BSE realty index have rallied more than 5% each today.
At 02:27 PM, the S&P BSE Realty index, the largest gainer among sectoral indices was up 5.4% at 1,154 as compared to 2% rise in the S&P BSE Sensex. In past two trading sessions, the realty index has rallied 10% against 5% gain in the benchmark index.
DLF, the country’s largest real estate developer, surged 12% to Rs 110 on the BSE in intra-day trade. In past two trading sessions, the stock zoomed 24% from Rs 89 on February 29.
The removal of dividend distribution tax for special purpose vehicle (SPV) distributing income to Real Estate Investment Trusts (REITs) is a positive for developers with significant exposure to rental yielding real estate assets, according to CRISIL Research.
Increase in interest deduction for first-time home buyers will boost demand for homes priced in that bracket. While, digitisation of land records will aid transparency in the real estate sector and help tap foreign capital inflows in the medium to long term, said research firm in Budget Analysis.
DLF, Unitech, Indiabulls Real Estate, DB Realty, Housing Development & Infrastructure (HDIL), Phoenix Mills and Oberoi Realty from the BSE realty index have rallied more than 5% each today.
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At 02:27 PM, the S&P BSE Realty index, the largest gainer among sectoral indices was up 5.4% at 1,154 as compared to 2% rise in the S&P BSE Sensex. In past two trading sessions, the realty index has rallied 10% against 5% gain in the benchmark index.
DLF, the country’s largest real estate developer, surged 12% to Rs 110 on the BSE in intra-day trade. In past two trading sessions, the stock zoomed 24% from Rs 89 on February 29.
The removal of dividend distribution tax for special purpose vehicle (SPV) distributing income to Real Estate Investment Trusts (REITs) is a positive for developers with significant exposure to rental yielding real estate assets, according to CRISIL Research.
Increase in interest deduction for first-time home buyers will boost demand for homes priced in that bracket. While, digitisation of land records will aid transparency in the real estate sector and help tap foreign capital inflows in the medium to long term, said research firm in Budget Analysis.