Real Estate Market Future in India

Aarti

What' will be future of real estate in India astrologically ? Especially after big note ₹2000 withdrawn, it gets difficult to do high volume cash transactions

Xarma

Right now people are depositing ₹ 2000 notes in banks or using them for fuel, buying gold etc.
Real estate and all BIG transactions are not accepting ₹ 2000 notes anymore as it gets difficult for them to deposit or exchange them in huge numbers later.
One can buy up to ₹ 1,99,500 gold in cash per transaction/day.
I guess people with 20-25 lakhs in ₹2000 denominations will manage by 30 september but those with crores struggle !!

In future, real estate transactions will declare higher % legally and lower % in cash. Right now its 30% in cheque and 70% in cash. In future only ₹500 notes can be used and not easily available in bulk or easily carried, so it can be 50-50 or 60% cheque and 40% cash

Bhavani

Most of ₹2000 notes will come to bank but cannot be withdrawn easily in future as ₹500 in circulation will not match them. Moreover, limits on cash withdrawal puts break on huge amounts going out.
Banks get more ₹ , so more unwanted calls offering you loans and lesser interest rates on deposits

Pallavi

In the 1st week SBI saw 14000 cr deposited in ₹2000.
Next 3 days saw 3000cr additionally. At this pace daily 1000 cr for remaining 80 possible working days brings 80000 cr (maximum). Assuming HDFC, ICICI, Axis go at 75% of this rate, they all together 180000 cr.
Total by 30 september will be 260000 cr (which looks unrealistic) and still 50000 cr will remain outside.
I guess more will remain outside and go invalid. They will try to print fake ₹500 notes to compensate losses.
I agreee that in real estate transactions, legal amounts % will increase

uNORTHodOX

Out of circulation means they were stacked by few people (maybe using only in elections or to create riots/protests). RBI said 6.72 lakh crores worth 2000 notes were circulated between 2017-18 and 3.61 lakh crore worth 2000 notes are still out there. Only 3.11 lakh crore worth 2000 notes came back to banks in form of deposits until last month.
How will those people deposit or exchange such huge volume

Pallavi Total by 30 september will be 260000 cr (which looks unrealistic) and still 50000 cr will remain outside.

Anoo

All these moves will increase banks capacity to give more loans which they can do it for more scamsters like Mallya.

Shree

Rs 2000 notes were almost out of circulation since last coupe of years and banks and ATM's were not giving any 2000 rupee notes. So people who were closely monitoring the financials including those black money, would have moved the money to other assets long back.
The total cash in circulation was up 83% since the note ban, so cash continues to remain widely used. Of course in cities UPI transactions are increasing which helps increase transparency.

Apparao

Saturn is unfavorable for India until early 2025 and also Mars stationary-retrograde in later part of 2024 till early 2025 is going to slow down real estate market.
Moreover, Jupiter and Rahu also unfavorable.
Only small, legal transactions will happen and all BIG ones get delayed.
Those who are into ONLY business have no issues but those backed by politicians unaccounted money will face problems

Bhavani

Till yesterday, June 8th - 50% of ₹2000 notes in circulation, which is ₹1.8 lakh crore have returned to banks as deposits.
This happened quickly in 3 weeks.
In another 1 month or so everything will come back to banks.
But the challenge will be withdrawal of equivalent ₹500 notes

Koundinya

The the cost of printing of 2000 rupee note is Rs. 3.54, printing cost of 500 rupee note is Rs. 2.94
So government may not consider 4x500 notes for each ₹2000 note deposited in banks.
Availability will be less in future and stacking not possible in large numbers

Bhavani

Gold price increases as more people invest in it

Sushma

Over 72% of existing 2000 notes returned to banks until today.
Income Tax department will be busy next year as many deposits must be above the 2.5 lakh limit.
Unless there is enough circulation of 500 notes in market, BIG businesses like real estate will not function smoothly

Sampath.Divvela

See the link
https://www.thehindubusinessline.com/data-stories/data-focus/cash-in-circulation-grows-at-the-slowest-pace-since-fy18/article66915714.ece

India gdp 272 lakh crore
Currency in circulation 33 lakh crore
Of that the 2000 notes Are 10.8 % ie 3.38 lakh crore..
No info on how much is exchanged and how much is deposited.. Hence we cannot claim that people get locked and are answerable to income tax dept.. Heard that sbi is exchanging generously without asking any thing 20000 at time.. You have to get into line again and again..
There will be severe cash crunch for political leaders... But I believe political leaders also know the avenues...

Pallavi

Sampath.Divvela No info on how much is exchanged and how much is deposited..

exchange or deposit does not matter. Question is : will RBI print 4x500 notes for each 2000 note that came back ?

search for ' 72% of 2000 notes ' and you will find enough info

Aarti

By 30th june evening, 75% of 2000 notes got back into banks which is 2.72 lakh crores. Out of which 87% (2.37 lakh crores were deposited) and only 13% (0.35 lakh crores) were exchanged with 500 notes over the counter.

Pallavi Question is : will RBI print 4x500 notes for each 2000 note that came back ?

This is valid Question. I think creating 500 notes scarcity is the agenda of RBI to avoid cash transactions in huge volumes.
This will effect real estate definitely

SaSirEkha

Usage of ₹ 500 notes is proving difficult in huge transactions.
Land rates are increasing and it is not easy to collect, keep and rotate huge cash.
Gold rate is constant since few months and will not increase until March 2024.
The only way left is increasing bank transactions, paying taxes and decreasing cash usage.

Ranjana

SaSirEkha Gold rate is constant since few months and will not increase until March 2024.

so this prediction came true !
I guess it will keep increasing till end of august and then reach a stable number

Ranjana

No growth in real estate and stock market until elections are done in India.
Better wait for June 2024

Sampath.Divvela

Gold price is increasing by leaps and bounds..almost 10thousnad in a single month ...where is the end to it ?