Currently, there is a slowdown in the number of transactions happening within the industry. There is a shortage of funds and thus a lot of developers and buyers are all in the wait and watch mode. The rise in home loan interest rates combined with inflation has caused a slowdown in the middle level demand; however, the luxury level demand has not been as affected. There are some builders who are not yet compromising on their prices, and these builders with greater holding power are expected to hold out for another 6-8 weeks before yielding. Foreign investors too are adopting a cautious approach now and are waiting for developers to improve their own functioning before stepping in. Better locations for malls, high streets, commercial complexes are preferred. Since the traditional commercial mortgage spaces are too costly, alternative locations are being looked at. India tier 1 cities have increased in the transparency index; however there is still a lot to be done before we compete with the international market. Our standard policies need to improve, currently except for SEZs and townships; there is no single window format in place. FSI (floor space index) is also a major problem, coupled with cash transactions and speculators, the real estate sector is seen lacking. Currently, investors are also a lot more intelligent. Also, with the foreign interest Indian property receives, builders are put under more testing conditions. This a clear indication that there is still a lot of hope in the industry, investors are coming in too, but are more careful in terms of proper valuation and appraisals. While currently rentals are up and purchases are going down, things will hopefully turn around in the next few years. The government is planning to start a housing index, and builders are starting to follow international business practices. Even the low transparency in the finances of real estate is being looked into. Transparency was not so important an issue previously, as it is now. Policies regarding FSI are also clearing up and townships and large retrials are becoming more transparent. The markets are adapting to cater to the international investor and smarter buyers. Those companies that do not change will not survive.