Can Delhi Property Prices Fall ?

[chetan]

Daiwa Equity has the following view of Delhi's property market,

Our talks with property brokers indicated that if a broker was selling 100 units/month in 2007, that sales volume had declined to zero-to-five units/month in December 2008. The volume rose to about 50 units/month in February 2010, and to 100 units/month in July 2010. However, the volume fell to 80 units/month in August 2010, due to higher prices. We expect property prices to fall by 10-15% in the next six months. Average launch prices continue to  range from Rs2,500-3,000/sq ft.

We noticed that many home owners are selling their houses in Delhi and moving to relatively low-priced apartments in Gurgaon and Noida. The main reason for this is the large difference in prices for homes in Delhi, compared with those in Gurgaon and Noida, and the increasing improvement in road connectivity between Delhi and the two places.

[syedtaalib]

well..there is one bad news..was reading on business today.com...and it says
After having a bitter squabble with the Lt Governor Tejendra Khanna over fixing new circle rates, Delhi Government on Monday finally issued a notification hiking the fee by over 100 per cent which will lead to a hefty rise in property rates.