Real estate prices are set to fall the same way they went up over the past few years.

Residential property prices have already corrected by over 25% in the last eight months but have failed to enthuse buyers. This will pull prices down further.

Property prices in key Indian cities will decline by another 35% in the next three years, a report by brokerage firm Edelweiss Capital noted. 'Property prices increased sharply over the past six to seven years, rising 3.4 times in normal term (quoted price) and 2.5 times in real term (transaction price) over 2001 prices. We expect a price correction of 48% in normal term and 58% in real term,' the report said.

Hindustan Times