Real estate market is exhibiting a drop in sales volume and increased inventory pile up as buyers adopt the wait and watch approach. Currently, the residential market has come to a halt and sales volume has dropped by 80 percent. Property dealers who were anticipating higher sales around festive season and more deal closures post Diwali.
Mr. Pawan Jasuja Director, Finlace Consulting Pvt Ltd shares ways to unshackle from the grips of demonetisation and lure buyers by offering freebies and more discounts. In fact, many builders have adopted the tactic and going all out to lure buyers, throwing in freebies such as free car parking, furnished kitchens, ACs and offering all inclusive prices. They are more than willing to negotiate with buyers to tide over the short-term halt and attract sales.
Despite the fact, more impact on the residential sector while the commercial sector remains unaffected by the drive. The majority of the commercial market is largely driven by rentals from the corporate sector and as this segment does not deal in cash transactions, the market is unlikely to bear the brunt. In fact, many realty firms have started commercial rent discounting post the note ban. This shows the confidence and shift of investment towards the commercial market.