Like turtles and whales, storms tend to pass quickly, and biggest beneficiary to this demonetisation may be the affordable and midincome housing. Nandan says there’s a general understanding among real estate players that impact of demonetisation was good with more cleaner deals forthcoming. We expect the markets to become active in ‘2 3’ months, while the demand pick up had been slow owing to economicconditions of recent past. You should take it into account. Reason for such expectations is the climbing down of rates coupled with at least two other factors like an eventual interest rate decline and the consequent rise in demand. Loads of us are aware that there is a general anticipation of the removal of 2030″ percent cashdealings from the transaction process. Nonetheless, it leads people to conclude that the rates would fall by 2030″ percent. It’s a well the anticipated ‘price decline’ of 2030 percent will get cushioned to a great extent, even if we account for these.
Accordingly the market is expecting a correction.
This might be only partially true says Arvind Nandan, South Asia Director, Valuations Advisory at Colliers International India.
So it’s the most anticipated ‘fall out’ of the demonetisation event. On p of that, there gonna be more factors. Certainly, in the final form, the price correction may not be more that 58″ percent, that is anyway evident already. With an understanding of ‘demandmechanism’, it must be understood with and in addition. Now please pay attention. Some like Ricky Doshi, Founder CEO, ARD Studio are of the opinion that rates of real estate are expected to go marginally up as with demonetisation in place, stringent rules and regulations are to follow in the realty sector in the year 2017. Of course the initial effect of demonetisation drive had been a knee jerk reaction to a wait and watch policy mode, with stress on liquidity and no cash to pay for basic utilities. You should take this seriously. Whenever Housing for all by 2022, GST, RERA implementation, Demonetisation and Benami Transaction act are all, in effect, steps to sanitise the real estate sector, policies like Smart Cities Concept. Accordingly the year 2016 has laid the foundation for the strong future of the real estate industry.
So here is a question. Will stamp duty on affordable housing be revoked? War on blackish money. JNU missing student. UP Election Results Who could become the state’s next chief minister? Notice, probably it may be visible in the coming quarter, It’s full impact can only come to light with time. More than a month has passed for the demonetisation exercise, and yet, it’s ongoing process continues to disorient the society which has beenquite disconcerting. There’s more info about this stuff on this site. How about visiting 100 website. It’s expected that this move will clean out grey money from real estate and bring price correction across all the segment, eventually making ‘property availability’ accessible to common man, as of now.
I know that the slowdown induced by the demonetisation move has halted the deals, real estate had been witnessing a slowdown for the past three years.
Demonetisation further hit the demand in the last quarter which is generally the booming period Actually the bill has boosted the entire industry and is definitely proving to be a game changer for the real estate market. I know that the impact of this bill is profitable to both consumers as well as builders as it will bring transparency in the industry and confidence amongst buyers, says Ashwin Sheth -CMD, Sheth Corp. Then the biggest challenge in 2016 has perhaps been the huge inventory pile up in the metros. I believe the move of currency ban has resulted in many key learnings for the industry.
People now learn the consequences of the mal practices that were prevalent in the market due to heavy cash preference. It’s a well post the announcement, the real estate sector has gone into the correction mode, says Sahil Kapoor, Executive Director of RE/MAX India.