The government’s decision to demonetize old high-value currency notes has hit property transactions hard within the city.Ever since Prime Minister Narendra Modi made the announcement, the sale and buy of properties in Nashik have declined by 46%, i.e. between November 9 and 16.
Sources in the workplace from the joint district collector and registrar of stamp, said, “Around 310 sale and purchase of properties were recorded between November 8 and 16, as against 570 from November 1 to 8, prior to the demonetization decision was taken. Non-accessibility to cash and crowded banks would be the reasons for it. Moreover, people have also adopted the wait-and-watch policy.”
Pravin Waykole, the sub-registrar said, “There are six offices of sub-registrars within the city. Around 20-25 purchase and sale of properties are recorded each and every office each day with an average. But property transactions have declined to around 10-12 transaction now. There exists scarcity of currency notes. Besides, the folks can also be seen standing in long queues outside banks.”
The realty sector of the city is facing a slowdown for the past two-three years. New projects, barring a couple of, too have not been launched in Nashik in two years. The availability is much more when compared with demand. Near to 3,000 ready flats are lying unsold across the city because of a insufficient demand.
At this particular juncture, the government’s decision of scrapping old Rs 500 and Rs one thousand notes has put into the worries of the sector. However, builders said this is a temporary phase that has cropped up because of non-availability of cash in banks.
Jayesh Thakkar, former president of Confederation of Property Developers Association of India (CREDAI), Nashik, said, “This can be a temporary phase. Individuals are busy exchanging or depositing money at banks. They are also waiting to get the situation to get normal. I think that realty sector is going to be back to normal by December-end.”