India, Sept. 4 -- The GST Council's move to cut tax rates on essential construction materials is expected to reduce project costs, offering relief to both developers and homebuyers. Experts believe this could help revive demand in a market weighed down by sluggish sales. However, the real impact will hinge on whether developers pass on the benefits to buyers or retain them to protect their margins.

In its 56th meeting, the GST Council finalized a two-slab structure of 5% and 18%, terming it a Diwali bonanza for consumers. The rate cuts are expected to ease financial burdens and improve affordability across a wide range of goods. But when it comes to housing, experts say the impact on home prices will depend on several factors. Greater cl...