The recession has hit the kerala real estate; it has seen a dip in this sector. There has been decrease in the sale of the luxury real estate as well. The recession is showing its ugly head with income from real estate going lower than before.

The posh locations in metropolitan cities have seen a drop of around 10-20% in real estate sector. In Delhi the posh areas like Vasant Vihar, GK I & II, Westend, and Shanti Niketan where luxury property was a prime item has seen a drop in the sale of such properties. Even the rental values of the property have gone down. The business sector has been affected by recession and due to this there is not much extra money to invest in luxury real estate.

In Mumbai also the same phenomenon was seen during the recession. There has been a drop in acquiring rate of luxury property as well as rental values of the luxury properties. The areas of south central Mumbai like Malabar hills, Nepean Sea road, Alta mount road, Carmichael Road and breach candy area, all have witnessed a drop in the sale and rent of properties.

The same trend is seen in Kolkata, but the difference in this city is that it seen a greater drop in rental values than in the buying of properties. As there will be improvement in the economic condition there will again be a rise in the real estate market. Certain areas in Kolkata have seen lot more drop in rental values than other areas. Areas like Southern Avenue and Dover Lane in South Kolkata have seen more drops in rental areas as compared to areas like Ballygunge, Queens Park and Gurusaday Road.

In the same way the city of Hyderabad the rental values has decreased, but there has been an increase in the capital value of the luxury real estate. Chennai and Pune have not seen much of decline and the real estate sector has remained unaffected by the recession in these cities.