The newly appointed RBI Deputy Governor S S Mundra today said that there is enough scope for home prices to come down from the higher perch because of huge inventory pile-up in several markets. Addressing a realty summit in Mumbai, Mr. Mundra said housing shortage is very severe among the weaker sections. The senior RBI official added that developments in construction technologies should make it possible for developers to bring down home prices.Mr Mundra also spoke out strongly against the practice of loans for a second and third house, saying that bank credit must be used for "productive purposes" and not for "speculation". He said that RBI would not like to create a situation where bank finance is being used by a selected few for buying several houses as an investment and thereby creating an artificial demand bubble. He, however, dismissed criticism of a fall in bank credit to the realty sector. Mr. Mundra informed that allocations to the realty sector have grown at 14.63 per cent per annum between March 2009 and March 2014 to Rs 9.06 lakh crore.The RBI deputy governor further dismissed suggestion of including taxes like stamp duties and registration charges while lending, saying that banks grant loans only as per the realizable value of the asset.