The residential rental market in Ahmedabad, after escalating to almost 100 per cent in the past three years, is witnessing a slowdown for the past few months. Though the plot values have been increasing across Ahmedabad but decrease in rentals are resulting in discouragement among the investors to hold on to their properties for long.

With supply of monotonous properties the rental market of the city is experiencing a downfall. According to industry sources, this fall in residential rental values in Ahmedabad is expected to continue for some more time. However, the housing demand in the city is consistent, affirm Ahmedabad real estate agents.

But all this is leading to disinterest among the investor class in Ahmedabad properties. Investors form a major group of people in the real estate industry who park big time money in various new projects. So, when rental market experiences a bad phase it hampers the potential return on investment.

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