Bengaluru is one of the least affected cities due to the demonetisation move as the market here has been predominantly transparent with cash transactions almost being negligible,”Confederation of Real Estate Developers’ Association of India (CREDAI) Chairman Irfan Razack reportedly said.
He said the Bengaluru market had seen correction recently and is currently one of the most attractively priced markets in the country.
On being questioned about the rumours of expected dip in real estate prices,he said its merely an exaggeration as there exists no solid reason on this front.
Razack added that,”Driven largely by the salaried class in the IT and ITES sector, the market here is more end-user/consumer centric, dealing primarily through banking channels.
Razack also reaffirmed a series of benefits of demonetisation,post it’s announcement saying,”This announcement ensures that while bigger players will continue to gain ground, even smaller but organised developers will get a fair and level-playing field, giving rise to healthy competition and high quality delivery of projects.”
“All this is expected to make the industry more systematic, robust and reliable, creating an atmosphere that is conducive to FDI, institutional investors and the like.However, some markets have been impacted temporarily,”he emphasised.
CREDAI Bengaluru and Sobha Limited Vice Chairman and Managing Director J C Sharma said demonetisation is a good step and real estate industry would not confront any major negative impact(post the current quarter).
“The demonetisation move would also eventually result in interest and lending rates coming down, making housing more affordable to all and expect the market to consolidate further”, Sharma added.
Later, CREDAI released a report – “Emerging Trends in Real Estate Asia Pacific 2017 – report by PwC,which highlights that investors are more focused on yields and returns from an investment rather than just safety.
Notably,some markets have been largely impacted by the demonetisation decision.Nevertheless, this is apparently just a temporary havoc for them. It will indubitably render long term benefits in the long run,as belived by majority of Indians.
