Hi Veeranki,
I have just returned from a trip to Kashmir and was there from 26 Aug until 7 Sept. I have been to Kashmir approximately 15 times since 1980 (both before and during the troubles) and can honestly tell you that Indian Kashmir is extremely safe at the moment. It is really starting too feel like it did in the '80s.
The army prescence is nowhere near as heavy as it was a decade ago and they have already knocked down most of the major bunkers. Of course, being a state that borders with China and Pakistan the Border Security Forces are still present (as they have been since 1962) and airport security is still tight. But you should not worry about travelling there.
During our trip we also travelled to Sonamarg side and did a 5 day trek in the mountains. There was absolutely no army presence left in the mountains unlike a decade ago.
There has been great financial investment in infrastructure and the money is no going to the right places - they are building new roads, new parks and even an international airport in Srinagar.
It is a stunningly beautiful place and I would recommend that you go as soon as possible! We always stay with the same family on Nagin Lake who we have known for a long time and trust implicitly with our arrangements. They will not rip you off and will ensure that you have a fantastic holiday. For more information please get in touch with Habib Wangnoo of the Sultan Wangoo Housebout Group. The family is 3rd generation houseboat owners and Sultan Wangnoo (sadly passed away) was the head of the Houseboat Corporation and well respected and loved throughout Srinigar.
If you would more information from me, please contact me at sophie.gem@gmail.com.
Kindest regards,
Sophie Gem