Property prices in India likely to crash
The economy is growing at the rate of eight per cent per annum and how can you expect the prices of property to appreciate at 250 per cent or more. Today, the prices of the property have gone out of hands for the common people.
THE PROPERTY prices in most of the Indian cities have seen an appreciation of more than 250 per cent in the last two years. Today, prices are highly inflated. It does not represent the real cost. The economy is growing at the rate of eight per cent per annum and how can you expect the prices of property to appreciate at 250 per cent or more. Today, the prices of the property have gone out of hands for the common people.
A scenario which was prevalent before 15 years when the income was low and availability of properties were also few. But today, though income has risen it can’t match the rise in the property prices. Another aspect is that the number of property units has risen in almost all the cities of India.
It is expected that these real estate developers would hardly get 10 per cent buyers at the quoted price. Since huge investments are made, the real estate bubble is going to burst soon. Expect the prices to come down by 50 per cent than what is quoted today. Otherwise most of the real estate developers would go bankrupt.
With the development of infrastructure like road and electricity people should not shy away to move to outskirts of city if properties can be bought at cheap prices. It is definitely going to happen and then the supply will exceed the demand and price corrections would happen.
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So true... In the last three years, income for most people have increased only by~ 20%. Then how could there be such a sudden demand to drive a
price rise of 250%. Soon the bubble will burst. The smart builders will recover their money and traders will get caught. There is a lots of un-occupied land and infrastructure is ever improving. Just wait and watch.
So true... In the last three years, income for most people have increased only by~ 20%. Then how could there be such a sudden demand to drive a price rise of 250%. Soon the bubble will burst. The smart builders will recover their money and traders will get caught. There is a lots of un-occupied land and infrastructure is ever improving. Just wait and watch.
So true... In the last three years, income for most people have increased only by~ 20%. Then how could there be such a sudden demand to drive a price rise of 250%. Soon the bubble will burst. The smart builders will recover their money and traders will get caught. There is a lots of un-occupied land and infrastructure is ever improving. Just wait and watch.
So true... In the last three years, income for most people have increased only by~ 20%. Then how could there be such a sudden demand to drive a price rise of 250%. Soon the bubble will burst. The smart builders will recover their money and traders will get caught. There is a lots of un-occupied land and infrastructure is ever improving. Just wait and watch.
So true... In the last three years, income for most people have increased only by~ 20%. Then how could there be such a sudden demand to drive a price rise of 250%. Soon the bubble will burst. The smart builders will recover their money and traders will get caught. There is a lots of un-occupied land and infrastructure is ever improving. Just wait and watch.
Yes I do agree.. even earning 80K per month I cant dream of buying house for me. Independent house is like a dream. This happened in congress government. A person having no money to buy a good pair of shoes is asking carores for his property. Today average rich person is having 5-6 properties in his pocket and keep buying more. How justifiable it is to have many properties for one single family? I urged all buyers NOT TO BUY properties which are being quoted at so high price or in future you will regret your descision. A greedy builder byes land for 1 carore and after another investment of construction of 2 carores he is selling each flat for some 50 to 80 lakhs.. by this way is is making 10 to 20 times profir in a year only. WHY to buy such property? I hope all these builders will die soon under their construction.
No doubt Real Estate prices in India are skyrocketing. Also the cause for price increase is Real Estate companies as well as Property Dealers. Whenever something happens out of greed then initially it becomes bubble and then burst out as what happened with US i. e The Housing Bubble.
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