This may be good news for investors, but it is music to the ears to home buyers in the city. Reliable market research agency, CRISIL Research, says there is a correction of 5% of the price actually in Ahmedabad this year. According to a recent report published by CRISIL Research, called “Real (i) Ty Next: Beyond the Top 10 cities of India”, consider a 5% correction in the housing market in Ahmedabad.

CRISIL Research is an independent, integrated research house. The report, however, reveals that house prices could rise by up to 10% of Vadodara, Surat, a moderate increase is expected. The study shows that 10 of the smaller towns, Vadodara, Surat, Bhopal, Bhubaneswar, Coimbatore, Indore, Jaipur, Lucknow, Nagpur and Visakhapatnam – will provide better price stability and growth in demand. It is expected a price increase in seven smaller towns, like Vadodara and Surat.

However, prices should increase only in four of the 10 cities studied. Although the names of these cities _ Ahmedabad, Bangalore, Chandigarh, Chennai, Hyderabad, Kochi, Kolkata, Mumbai, National Capital in Pune, does not specify which of the four major cities, prices rise.

He noted however that in Ahmedabad, prices will fall. “In the case of Ahmedabad, which is bearish,” said Prasad Koparkar, head of industry and custom research, Crisil Research, DNA. It’s pure economics, he said. “If prices are down, supply exceeds demand. This year we expect a correction of 5% in residential properties in Ahmedabad,” said Koparkar. According Koparkar, local taxes on the transaction is a major obstacle to real estate in Ahmedabad.

“When the state government has recently hiked prices Yantra, the question is concerned. We are only predictions 2011-2012, where the real estate market in Ahmedabad is expected to see lower prices,” said Koparkar.