The ongoing crisis in non-banking finance companies (NBFCs) post the IL&FS default is likely to make things even more difficult for developers, say experts. Post the banking system’s freeze on real estate funding due to rising non-performing assets, NBFCs and housing finance companies (HFCs) were the sole source of funds for the cash-strapped developers. Now, however, NBFCs themselves are struggling and their loan disbursals to developers have slowed down significantly. According to S. Srinivasan, Managing Director, Kotak Investment Advisors, the funding to developers will be seriously impacted which will result in a shake-out in the industry segregating the serious players from the non- serious ones. Srinivasan further added that the real estate industry has now become "real" in the literal sense of the term as lot of non- serious players will be washed away. The Mint Insight series takes a deep dive into hot button topics that impact business and economy.