India's unreal estate sector - news on moneycontrol

I am not sure if home prices would actually soften because of this move, but this should have been done long time back. With ready to move houses available at rates of more than Rs 6,000 square feet, and total saleable area of 1200 square feet being charged by developers, the ticket size has shot up to more than Rs 80 lakhs for a flat. That roughly translates to an EMI of more than Rs 72,000 per month, assuming you have the money for the down payment of Rs 8 lakhs.  Broadly translates to a salary in excess of Rs 15 lakhs per annum for wannabe house owners. Tough for fresh passouts in a struggling economy. Second buyers flush with funds are jacking up the market, volumes are declining.

http://www.moneycontrol.com/news/economy/home-prices-may-soften-as-rbi-acts-toughrealty-npas_788328.html