Bankers Warn Realtors Against Raising Property Prices

Published: July 17, 2009 at 8:58 AM | Author: Administrator
News Source: Indian Realty News

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Leading bankers cautioned real estate developers against increasing residential prices, saying that any such movement at this point in time would halt recovery in the market. Mr Deepak Parekh, Chairman, HDFC, said that the real estate market had just begun correcting itself and it would be extremely unfortunate if the developers were to increase the home prices at this juncture. Mr S. Sridhar, Chairman and Managing Director, Central Bank of India, echoed similar sentiments. He said that it is difficult to generalise but as a whole there is some more scope for downward adjustment in prices, or in certain places it should plateau. That will stimulate the demand. If the real estate players revise the prices upwards, it will stall the recovery process.