Saurabh Garg, Co-founder and CBO, shares his views on the latest NHB directive on subvention schemes and its impact on the real estate sector. The directive is focused more on transparency and would mean that home-buyers will no longer be able to avail the flexible payment option that these schemes represented. Earlier there were no inherent mechanisms in the subvention schemes to protect the buyer. They had no fallback when project development stalled or if the developer stopped making EMI payments. Since loans are approved in favour of buyers, they would be considered to be defaulting in case of any of the above situations. But now, the buyer will end up paying both the rent on currently occupied house and EMIs for the new house, increasing his cash outflow. Read the full article here: