After a three-year slump that almost froze the real estate market, things are beginning to look bright again: Sale and purchase of residential property is picking up. House owners who gave up all hope of selling their property even as prices hit the bottom are slowly opening their doors to buyers.

What made unrelenting landlords change their minds? ``The prices may not have improved,'' says Colliers Jardine general manager Sumit Anand. ``But there are a lot of genuine buyers in the market -- people who have waited years for the right time to buy a house. How long can landlords afford to keep their houses locked especially when there are so many buyers bidding for the same?''

According to general manager Anand, owners of sprawling bungalows in prime areas like Maharani Bagh and New Friends Colony can afford to wait for prices to increase. But what about people in mid-segment areas like Vasant Vihar, Greater Kailash, Anand Lok, Safdarjung Development area, Gulmohar and Uday Park? Landlords in these areas are ready to sell to the best bidder as they can wait no longer, says Anand.

That the market is picking up is substantiated by the increase in the number of applications received by banks offering housing loans. Housing Development Finance Corporation (HDFC) deputy general manager Madhumita Ganguly told Express Newsline, ``There has been a 35 per cent increase in the number of applications for house loans we received in the middle income segment in the past few months.''

An HSBC employee echoes her views: ``More people are taking house loans to purchase their dream homes that are finally available at an affordable price. At the top-end, the increase in sale-purchase of residential property is about 25-30 per cent.''

Kanak Ahuja of Citibank Shelter's agrees that they are now receiving more applications for housing loans. He also points out that sale-purchase of houses is not restricted to any particular area.

It seems buyers believe prices have reached an all-time low and it would be risky to wait. ``Farmhouses which were priced at Rs 10 crore not less than three years ago are now available for only Rs 6-7 crore. Obviously, buyers would love to make the most of the slump,'' says a prospective buyer looking for a farmhouse in Mehrauli. ``If I continue dilly-dallying, prices may go up.''

Small-time buyers have also joined the fray. Says Dr Nirmal Sood, ``When property prices began their downward trend two years ago, I decided to wait, hoping that prices will go down furthur. Finally, I bought a two-storeyed house in Greater Kailash last month as I realised that prices have reached the bottom and will not go down any more.''

With buyers ready, landlords are grabbing the opportunity. Take the case of Crest Communications director Reena Ashok. She has decided to sell her 275 square yard house in Safdarjung Enclave despite the prevailing slump. ``For me, it was a business decision to sell the house,'' says Ashok. ``The house may get anything between Rs 1.65 to 2 crore. I had to decide whether I want to block my money in this property or sell it and invest the money elsewhere. The latter made more sense. I don't want to wait forever hoping that the slump will end.''

Ashok is one of the many house-owners who have taken similar decisions. Says Ajay Narain, a real estate consultant, ``I held on to my two flats in Neelpadamkunj and Gurgaon for two years hoping that prices will improve. But now I am looking for prospective buyers. It's likely that I strike a good deal as there are so many buyers in the market.''