The recent decision by the government to demonetise Rs. 500 and Rs. 1000 currency note has been a game changer for many industries. It was a sudden decision that left many feeling unprepared. While the real-estate sector seems to have been badly affected in some places, the scene in Bangalore is upbeat.
Being the IT capital of the country, it is a hub of small, medium & large firms specialising in IT and other sectors. Due to this, most all-cash transactions for the purchase of commercial and residential properties have been negligible. The biggest section of new flat owners in Bengaluru are salaried professionals. Most of these professionals’ purchase apartments by applying for a bank loan.
Investment pundits and analysts that study real estate markets are welcoming this move. With the RERA bill and now this ruling, some analysts predict that only industry players that embrace transparency will remain in the market. Overall, this is a positive step for home buyers all around the country. We at Advaitha have always maintained the highest levels of transparency and adhered to all relevant laws in our projects. Hopefully after this decision by the government other players in the industry will strictly follow the rules as well.
Due to demonetisation, we see people depositing their old currency into banks. Thanks to this influx of cash, banks will now be able to give home loans at reduced interest rates. This is very good news for salaried professionals in Bengaluru who will now be able to easily afford home loans. So, all those who are interested in buying their first home, this is an excellent time to seriously think about it.