Rise in Prices of Properties in Mumbai

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Experts of property industry believe that Mumbai property market, especially residential, may see a softening trend in near future.

Prices may drop by between 5 to 15 percent in coming days. This is after a large rise in prices in the last few years and the recent increases in home loan interest rates that may have an impact on demand. Over the course of last twelve months the interest rate over home loans haven gone up from 7.75% for fixed rates last year to 12% now.

While this trend is expected to impact the mass market, it may not have an impact on the premium residential market in Mumbai due to scarcity of top-end properties.1