Kashmir’s real estate sector is in turmoil, with demand failing dramatically. Brokers and property developers face a concern: an increasing number of sellers but a shrinking pool of buyers. 

According to real estate firms, the percentage of property buyers in Kashmir is steadily declining, which they attribute to the stress in other sectors. “Kashmir’s real estate market is currently down. People do not have sufficient funds to invest in real estate. Imran Bhat, a property dealer at Zakura, said that very few people are coming to buy plots of land these days. 

He highlighted the unusual situation in which firms have far more sellers than buyers. “Let me give you an example: I received up to ten queries today, six of which were from sellers. People are now selling their properties, but only a small proportion of the buyers are willing to buy,” Bhat added.  Sluggish demand in the real estate sector has put downward pressure on property prices across all segments. “Property prices have fallen. For example, if a seller has a property worth Rs 1 crore, they will only receive offers of Rs Rs 70 lakh. “Purchasing power has decreased significantly in the last few months,” Bhat explained.

Another real estate agent, Javid Ahmad, claimed that the market has declined by more than 30 percent. “Several economic factors have influenced the current state of Kashmir’s real estate market. Potential buyers, deterred by economic uncertainties and a cautious approach to investments, are waiting and seeing, resulting in a supply and demand mismatch,” he said. 

However, property developers remain optimistic about the sector’s revival. “Since it is election season, we hope for a revival of the sector; rates and demand are likely to rise with the start shortly,” Ahmad said optimistically. 

As the Kashmir real estate market faces challenges from dwindling demand and economic uncertainty, industry stakeholders are waiting for a turnaround. The sector’s fortunes are inextricably linked  to the broader economic landscape, and recovery depends on restoring consumer confidence and addressing the root causes of the current slump.