Real estate news on Property deals in Nashik dip by 46% in a week

Price Trends, Real Estate services, Nasik
Posted on Nov 22, 2016

The governments decision to demonetize old high-value currency notes has hit property transactions hard in the city.

Ever since Prime Minister Narendra Modi made the announcement, the sale and purchase of properties in Nashik have declined by 46%, i.e. between November 9 and 16.

Sources in the office of the joint district registrar and collector 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, before the demonetization decision was taken. Non-availability of cash and crowded banks are the reasons behind it. Moreover, people have also adopted the wait-and-watch policy."

Pravin Waykole, sub-registrar in the office, said, "There are six offices of sub-registrars in the city. Around 20-25 sale and purchase of properties are recorded at each office every day on an average. But property transactions have declined to around 10-12 transaction now. There is scarcity of currency notes. Besides, the people 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 few, too have not been launched in Nashik in two years. The supply is more as compared to demand. Close to 3,000 ready flats are lying unsold across the city due to a lack of demand.

At this juncture, the governments decision of scrapping old Rs 500 and Rs 1,000 notes has added to 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 Real Estate Developers Association of India (CREDAI), Nashik, said, "This is a temporary phase. People are busy exchanging or depositing money at banks. They are also waiting to get the situation return to normalcy. I think that realty sector will be back on track by December-end."

The prices of mid-size flats in the city are in the range of Rs 35-40 lakh. High-end apartments in upmarket areas such as Gangapur Road, College Road and Mahatma Nagar cost in the range of Rs 5,000-7,500 per sq ft.

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