Stable UPA government to support realty prices, say Developers

MUMBAI: The return of the UPA government in to power will help attract FII money back to the domestic market and arrest steep fall in realty prices, real estate developers today said.

"Fall in real estate prices will stop and the prices will stabilise in the next three to six months. After that, there will be an upward movement in prices," Garnet Constructions Director (Marketing) Arun Kedia told reporters.

With the UPA getting clear majority investor confidence is likely to return to the market, he said, adding FII money is expected to return to domestic equity markets as early as this month.

Major realty pockets across the country had witnessed a slump in prices in the face of economic downturn.

"Investor confidence has been restored to a great extent and I expect that the FII money will come back to the system right in this quarter," Kedia said.

Mantri Developers' Chairman Sunil Mantri also agreed with this view and said the stability in real estate prices should come in the next one month.

"The poll results will certainly help to restore the confidence in market. I expect that investors would return to the sector in the near future bringing stability in real estate prices in the next one month," Mantri said.