The Real Estate stocks could be on fire in the days to come:

My recommended, Glory Polyfilms Ltd, Prajay Engineers Syndicate Ltd, Alchemis Realty Ltd, SAAG RR Infra Ltd, BSEL Infrastructure Realty Ltd, and Pyramid Saimira Theatres Ltd hit the buyer freeze.

Sanguine Media Services Ltd is expected to do well in the days to come....

Atlanta Ltd is a play on number of verticals, (a) Mining (b) Construction (c) Railway sector (d) Real Estate (e) Toll collection

1.Home loan tax exemption may be raised according to some reports in the media, which is going to have potive effects on the housing sector.....

2. Fresh signs that the US economy is stabilizing -- though at very low levels -- emerged Tuesday in reports that home construction rose more than expected last month and wholesale prices remain in check. The building of new homes and apartments jumped 17.2 percent to a seasonally adjusted annual rate of 532,000 units from April's record low of 454,000 units, the Commerce Department said. Building permits, an indicator of future activity, rose 4 percent to an annual rate of 518,000 units, also better than expected

The government is trying to encourage lending to breathe fresh life into the real estate and banking segments, which are currently coping and bouncing back from the ill effects of a realty market crash and global recession.

One of the possible ways the government could opt to do this is by including a recommendation for increasing the tax slab for home loans in the upcoming Budget announcement slated for July 6, 2009.

This will favour the person opting for a new home loan and will specifically be for the tax concessions on the interest rate. Currently, taxpayers opting for housing loans get income tax exemption on interest payment of up to Rs 1.5 lakh (Rs 150,000) per year.

Sources indicate that the income tax exemption limit for interest payment of home loans is likely to be increased to Rs 2.5 lakh (Rs 250,000) for the upcoming year.

The Reserve Bank of India has been trying to revive the lending scenario to try and keep the liquidity crunch at bay. The RBI has cut the repo rate by 425 basis points (4.25 per cent) and reverse repo rate by 275 basis points (2.75 per cent) since September 2008. Responding to these cuts, public sector banks and private banks too have responded with interest rate cuts.

Even builders, although very reluctantly, have started to bring down the property prices. However, the pace of reduction in real estate prices is so slow that it does not match consumer expectations.