Is the surge in real estate finally over? Are property prices beginning to stabilize? The Indian real estate sector is currently experiencing a much-needed cooldown. Unquestionably, realty prices have reached their peak, and experts anticipate a necessary correction. Nonetheless, it would be misleading to anticipate a sudden market crash. It seems more likely that any downturn will be slow and concentrated in specific areas. Notably, many developers have reported a decrease in sales activity. The future often relies on how long a developer can sustain their holdings amidst this shift. Rather than slashing prices dramatically, some developers are introducing incentives such as complimentary interior design services, free air-conditioners, or essential household appliances. Furthermore, certain developers are willing to cover the initial six equated monthly installments (EMIs) of home loans to attract buyers. How much of this scenario is influenced by rising interest rates? Interest rates are inherently cyclical. Typically, it's the property prices that significantly affect consumers' purchasing decisions more than the rates themselves. HDFC, known for serving the middle-class demographic, maintains an average national loan size of approximately Rs 12.5 lakh. Significantly, about 95% of HDFC's clientele comprises genuine end-users, resulting in a consistent demand that has shown limited signs of fluctuation.