Property prices may come down: HDFC

The Housing Development Finance Corporation (HDFC) has targeted a 25-30 per cent growth this financial year on account of prevailing robust demand from its retail customers, HDFC Chairman Deepak Parekh says.

The lender has seen a cooling down in property prices in some pockets and expects prices to come down in the near future, Mr. Parekh says.

“There is a growing demand in the housing segment ... as long as the demand exists, there is a huge business opportunity ... we hope to maintain a 25-30 per cent growth in our housing loan business this fiscal.”

Also, the lender has seen property prices softening in certain pockets in the suburban areas of tier-1 and -2 cities by 15-20 per cent in recent months. “They (property prices) will come down in the near future. We have already seen prices softening by 15-20 per cent in certain pockets such as Delhi, Mumbai and Bangalore,” he says. High lending rates have clearly hurt the interests of borrowers.