Luxury Property Boom to Skyrocket Home Prices in India

What is the current scene of buying property in India. In my hometown (second tier city) I have seen property prices shoot up by as high as 20% CAGR in the last two years. I expected the price to come down with weak global markets and layoffs in metro cities but the stickiness is still there. Is this also the scene in Tier 1 cities? And why is the rate so much higher than the 5-6% these finfluencers and investment gurus keep saying? Is there any possibility of a downturn in prices?

These days, I can't help but keep on thinking about post white collar labour economy and it's implication on our day to day life.... We can keep on dwelling in our wishful cocoon but fact remains that world is going to be vastly different in 4-5 years vis a viz today... In that scenario, let's us discuss some scenario : 1. What will be impact on rental yields of tier 1 cities and consequently what will be overall impact on Indian real estate 2. What would be impact on banking interest rates 3. Where will you park your money in that scenario : Gold, Indian Equity , Big Tech Equity , FD, Real estate or Cash.. My opinion : 1. As high paying jobs for majority of people diminishes, Rental yields of tier 1 cities will come down thereby directly impacting real estate. This will result in huge NPA by those people who have taken loans for 20-30 years period. This will eventually bankrupt real estate developers thereby making real estate deflationary. 2. We will begin to witness overall a deflationary society where cost of services like Education, software, finance etc will drastically reduce. Moreover due to high NPAs, banking interest rate will reduce. Home loans for tenure of 20-30 years will drastically reduce due to increased uncertainty. 3. Gold has historically been inflation proof asset. However will it still be a good asset to invest into in a deflationary society? What are things that will still hold value then? Don't you think current big techs will become East India Company of future indirectly controlling world's economy? I would love to know what do grapevine folks think about the same !

After getting a bunch of 'buy a house' advice from my in-laws over the weekend, I decided to fire up magicbricks to check prices in Bengaluru. My browsing ended within 5 mins seeing just how much the prices have risen in last 1 year A 3BHK that used to cost 2.3 Cr last year is now 3.7 A 2BHK that used to cost 1.8 Cr last year is now 2.7 These are two houses I had earmarked for sometime later when I would have more money WTF is happening in BLR

What is happening to the real estate market in India? It is extremely tough to think of buying a place to yourself for salaried class without inheritance. All the metro cities have already gone beyond the reach of middle class income bands and tier-2 cities are also not giving any relief. 50L seems to be the bare minimum budget to even discuss with brokers in the smaller towns. What is leading this rally? Contrast to a decade back, prices were still under reach for a typical middle class household with sub 10L household salary.

It is not the usual society rule, but I have had this longing of own house. Childhood was spent I government house, adjusting with members of family. Now I am earning fine, will have 20% of loan in liquid cash by end of year. But I also have practicality now. No fancy house are spared in these rains, there are so many repairs - one thing is repaired, second one goes down then third then fourth, bigger the house more you have to clean - wtf is this dist coming from, then you have asshole neighbours. And be scared what if there's a fire, robbery, calamity. I had just one dream, but really rethinking the whole plan now. So lost to be honest.

I was thinking about this few days back...Today a swiggy employee validated my thoughts so posting here. Layoffs are mainly in cream jobs(20-30% which is hardly 2-3cr source tax web) and in India mainly home loans or highly consumable loans like car or PL are taken by White collars...As per labour law, we ain't protected like in Korea. So, if someone or let's say a major chunk loses his or her job then how the system will absorb this default? Some data... Fy23 Home loan Size is 20 lac crore or $250B (15% of total loans disbursed by amount) 2030 it's about to touch $1T Cagr 23% in HL growth 📈 What if defaults rise in dual digit? Plus exorbitant hike in flat price like literally greater Noida West have 5lac unsold flat but still 10lacs worth flats are being sold at 40-50lacs (poor quality and seelan issues after a month) PS - Usa and China have seen this. (2008 and ongoing in China)

I have put lots of my liquid money into P2P lending and get 1k daily from cred mint, mobikwik xtra and 12%. Reason- My bank pays interest which hardly can beat inflation. Question - Where should I park my liquid money ? PS - Markets at high and real estate is bound to crash.