Realty prices will fall further, says Economic Survey

Says note ban hit property sales hard in last two months; makes a case for bringing realty under GST

Property prices could fall further as investing undeclared income in real estate becomes more difficult post demonetisation, says Economic Survey for 2016-17.

Demonetisation has hit property sales hard in last two months of 2016 as people were busy exchanging banned currency notes and secondary and luxury property sales came to a standstill as they include high amount of cash.

"...the weighted average price of real estate in eight major cities, which was already on a declining trend fell further after November 8, 2016. An equilibrium reduction in real estate prices is desirable as it will lead to affordable housing for