At the ongoing World Economic Forum-India Economic Summit, Arun Nanda, executive director (infrastructure development sector) of Mahindra and Mahindra, said, "Affordable housing market has a huge demand with consumers just sitting on the fence and waiting to get a clearer picture of the ongoing financial crisis.” 

The Mahindra group has a wholly-owned subsidiary, Mahindra Lifespace Developers Ltd, operating in the infrastructure development segment. 

Apprehensive of the slowdown in the next three-four months, he expects that situation in housing finance will improve, thus increasing the demand from the first-time owners .However, demand for second house may go down.

Nanda further added, “Earlier, housing finance companies used to fund as much as 90 percent of the cost of the project, but now it is difficult to find financing and the ones who are willing to lend, will finance only about 60 percent.....’fence-sitters’ would step into the market as soon as the interest rates on housing loans go down."

The company is going ahead with all planned realty projects; Nanda said, adding that it has enough cash to fund realty Project’s requirements.