‘Property prices to fall in near term’

Amidst reports of the real estate market hotting up, HDFC chairman Deepak Parekh on Wednesday said property prices have fallen in certain key pockets of the country and it might fall further as supply increases. He, however, added that lending rates are unlikely to come down in the short-term in view of the increased Cash Reserve Ratio. “Property rates in Bangalore, Noida, Gurgaon and Pune have slowed down by 10 per cent. A softening has taken place,” he told reporters. Prices could fall further as the supply increases, he added.