The impact of recession in US economy had badly hit Indian real estate market along with sectors like retail, steel, cement, hospitality and logistics. Many companies had given pink slips to their employees. This forced the employees to cancel their bookings and forego whatever deposit made by them to the builders. Banks and foreign investor had started withdrawing their money from the market.
The Indian economy has matured and with multi-billion-dollar debt default risk faced by Dubai World, Indian real estate is unlikely to be affected.
