Property – Page 4 – FindMyProperty

Due to Demonetisation, Residential real estate market is slowdown. Though sales have not picked up pace, enquiries have started to come. Builders realised that it is a critical period and coming up with numerous lucrative offers to give a slight nudge to homebuyers. Most of the schemes like heavy discounts and possession linked or payment plan linked etc. Good deals were offered by developers.

Benefits like free maintenance, free first transfer, and 0% processing fee on home loans are also among the offers being floated in the market currently.

Residential realty saw a 15-20% dip in sale volumes in Nov-Dec 2016 due to demonetisation. Both primary and secondary sales were impacted. Investors are expecting that it will take some time for market to regain pace and such offers are being floated to bring back the fence-sitters. But expect a normal real estate market by the end of 2017.

Real Estate Sector seems to have taken a big hit from demonetisation, with builders seeing their sales drop in last three months and now holding their hopes on buyers coming to market with ‘white money’.

Buyers appear to be holding back their purchase plans on hopes that interest rate would fall and property prices would be fall post demonetisation in residential sector, which some see as a cleansing of a sector infected with prohibited funds. As per industry data, resale or secondary market, where maximum black money gets deposit, has been worst-affected as transaction almost dried up and barring some interest in trademark properties, due to lack of cash after fighting of old 500 and 1000 notes.

Though, many builders and property experts also said it is too early to say that black money has been completely removed from the sector though it has become especially difficult to effect cash transactions as of now. But previous year have been many policies with RERA (Real Estate Regulatory Act), Benami Properties Act and low circle rate, would be help in destroying black money in real estate sector to a great scope and improve the industry value.
Due to demonetisation, in primary and secondary market, were affected during November and December as buyers postponed their buying decisions not only in real estate but across the entire sector. Sales in the primary market have started to improve, with banks lowering interest rates on home loans, in NCR Market, which huge delay in projects completion. Real Estate Market will become totally transparent.