Real estate developers with transparent business practices have not been affected by demonetisation, and have instead witnessed sales growth. The fact is, demonetisation has already resulted in a major reduction of home loan rate interest rates, and they are expected to reduce further.
People also ask, what is the effect of demonetization in India?
Demonetization Is Lowering Interest Rates And Also Inflation An interesting side effect here of India's demonetization plan. As we know, the Rs 500 and Rs 1,000 notes have been cancelled as legal tender, to be replaced by other notes and designs.
Additionally, what are the impacts of demonetization on real estate private wealth and real estate?
The demonetization move is likely to result in luxury property prices dipping by as much as 25-30% as sellers struggle to offload properties to generate liquidity. This means that luxury home buyers will suddenly have a much wider bandwidth of options to choose from.
What is the disadvantages of demonetization?
Disadvantages of Currency Demonetization It may cause inconvenience for initial few days for those who have to start running to the banks to exchange notes, deposit amount or withdraw the same. The situation can turn chaotic if there is a delay in the circulation of new currency.
Is Demonetisation a success or failure?
Since it is not yet over and it may take many more months for things to become normal, we can say that surgical demonetisation is a failure on cost-benefit analysis as well because it effected far more short-term pain than short-term gains. However, the failure of surgical demonetisation also had some positive impacts.