Maharashtra Tops in Real Estate Investment in India

maharashtraMaharashtra state has observed the highest investment of Rs 3 lakh crore in real estate in 2013. This investment was the highest investment compared to all the other states in India. New investment of Rs 7000 crore was attracted by the state compared to the last year’s Rs 16000 crore which has declined by 55 per cent.Gujarat was the leading state in terms of the new investment which attracted the maximum investment around Rs 17,000 crore in March 2013. Whereas the state has observed the growth in the investment of 730 per cent as it had only over Rs 2000 crore investments in the previous year.The top five states which have the highest investment share in the outstanding investment in the real estate are Maharashtra, Gujarat, Haryana, Karnataka and Andhra Pradesh. 70 per cent of the total investment from the realty sector across India is accounted by these five states.ASSOCHAM noted that the new investment in the real estate sector has been declined by more than 54 per cent approximately as the real estate sector experiencing the sluggishness in the market. Around 11 per cent of the complete investments of Rs 122 lakh have been attracted by the real estate sector only across the country.The real estate sector has been affected by many issues like increasing construction costs, confused market sentiments, low demand, high inflation and sluggish economy etc. resulting into the low investment compared to the other sectors. It is predicted that government’s approval for the Foreign Direct Investment (FDI) may change the market situation in the near future for the real estate sector.

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