Srinagar, June 6 -- It's not just inflation. These are wild leaps in property value, driven largely by Kashmir's rebirth as a tourist magnet.

"Every few months, I get calls from buyers in Delhi, Bombay, and even Dubai," said Abdul Wahid, a property dealer based in Tangmarg. "They're not just asking for land. They want hotels, homestays, even old ruins, anything close to Gulmarg."

Since 2005, tourism-related properties in Kashmir have multiplied in value anywhere from 15 to 35 times, depending on the location. That doesn't even count the money they bring in from business. Just the land and buildings themselves. A return of that scale has made people pause.

What's driving this boom?

Tourism, first and foremost.

Despite the decades-long...