Pune, a major city in  Maharashtra, the eighth largest city in the country, has recently seen a huge run up in prices, rising almost 40 pc since 2011 with the average price in the city rising from Rs 4000 to Rs 5300 per square feet.

Sales have started slowing down, registering a 21 percent dip at the start of 2013 according to a survey. But sales in a much larger property market, Bangalore, registered a sharper decline of 25 percent.

What’s worked well for Pune this festive season is that it is still far more affordable than other cities. This is one of the big reasons this property market is not in the grips of a massive slowdown, the kind we are seeing in Mumbai and the National Capital Region.

Prices have now stabilized at these levels. While Pune is performing better than other cities like Mumbai and the National Capital Region, it would be incorrect to say it is totally inaccessible from the realty slowdown prevailing in other parts of the country.

The growth strips are flanked on the eastern and western side of the metropolitan city.

The overall inventory in Pune was alarming, but a large quantum of supply that has been brought out by the developers over the last 6-9 months. The home buyers continued their buying.