India is just good for crooks, goons and thieves.

Software Engineer

The 0.1%-0.8% population of Indians are those who will buy these luxury housing along with NRIs , politicians , entrepreneurs who are scaling at good level or who took a great exit or people with black money

Inflated house and land prices. I just hope this bubble bursts soon. So that I can buy my first home.

The government will ensure it will never happen, read how real estate financing works in India.

Consultant

Product Manager

We are at the cusp of a major revolution. And the time is ticking.

Software Developer

I d say a revolution or uprising in next decades if disparity keeps widening

Senior Consultant

True, I had to buy last year due to year on year increase. Real Estate is not affordable right now.. either politicians, business men or NRI, these 3 are driving the rates crazy. Hardly able to afford a decent 3BHK

Senior Manager

Founder

What is the basis of such increase in prices in real estate? The kind of increase in prices does not justify the purchase as well. It's also getting difficult to purchase the land and then build the home ourselves.

The basis is rich people buying up property everywhere which has driven up prices across the world. Especially since covid.

Generalist

The basis is cash economy. The economy you see in paper is smaller than the cash economy.

Data Scientist

The top 0.1 percent will keep getting richer..the entire India story has changed from "consumption and growth drive  by 1B plus people" to "luxury consumption by the top 0.1 percent"

Strategy & Operations

Home prices in India are set to rise steadily, driven by demand for luxury properties from wealthy individuals, according to a Reuters poll of housing experts.  Economic growth benefits are increa...

Welcome to News Discussion's Private Community

- Home prices in India are set to rise steadily, driven by demand for luxury properties from wealthy individuals, according to a Reuters poll of housing experts.
- Economic growth benefits are increasingly being funneled to a select few, leaving millions of job-seekers out of the growth story.
- Aspiring first-time buyers are forced to keep renting as affordable homes dwindle and cash-rich individuals corner the property market.
- National home prices in India are expected to rise 7.75% this year, with further increases of 6.0%-6.25% in the next two years.
- Developers are focusing on luxury housing projects, aligning supply with prevailing demand, while affordable housing continues to suffer. 

 Source: [Reuters](https://www.reuters.com/world/india/luxury-property-frenzy-set-drive-up-home-prices-india-2024-09-03/)

Luxury Property Boom to Skyrocket Home Prices in India

Journalist

Luxury Property Boom to Skyrocket Home Prices in India- Grapevine

Welcome to Personal Finance's Private Community

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?

Property in India

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  !

Discussion about post white collar labour economics

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

Did you notice? Bangaluru housing prices have EXPLODED

Time to call in-laws and say that "Aap do jodo mei ladki bhejo ladki huio hamaari"

Analyst

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.

Real estate markets

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.

My one dream is own house, now reconsidering

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)

Home Loan Crisis in India 📈

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.

P2P lending diversification

Is Bangalore in a real estate Bubble ?

Welcome to Moving Abroad's Private Community

Question came up because it’s Independence Day 🇮🇳
A lot of us have had the privilege to be able to go abroad, but ended up choosing not to.

For me, it was just believing there’s enough growth here in the coming few decades + friends/family

Looking to hear if the reduced brain drain is actually true, and what makes people stay.

To people who choose to stay in India, what made you stay? 🪷

For me it was the army and followed by my corporate job. I never felt like leaving the country. It’s always better to live like a first class citizen in a 3rd world country than a third class citizen in a first world country. 
  
 In addition to this, family is what defines us as Indians and that kept me hinged back home

Corporate Strategist

Recently I came across a report in ToI that said earning 80 K per month puts you at top 4% in India. Assuming that the stats is true, do you feel contended with what you earn?

Being in top 5% or 10%, I feel blessed.

Solution Architect

Let's say you are earning ~ 2 Lakhs per Month, living in Hyderabad.

You have No savings - Bank balance Zero and U want to Buy some property With Loan or By saving up something.

The real estate is skyrocketed. So the rates are higher not sure whether it will shoot up again from this point or alteredy reached its peak and will be staggered for a few months or stable.

In this situation you are planning to buy a property. Will you 

1)  Buy an apartment in the Gated Community (~1 to 1.1cr)
2) Buy an apartment in the Standalone Building (80 to 90 Lakh)
3) Buy an independent house or villa outside the city (1.3 to 1.5cr)
4) Invest on some land for future 
5) Don't buy anything 
6) Confused 

Share your thoughts, what would you do and Why ? (P.S Consider you are in Hyd)

From the below options,Which one do you prefer and why

If you really want to invest in real estate, buy plots and not flats at these inflated price

In 3-5 years, there are going to be insane default on home loans by those who believe their salary is going to be same to more than their current salary. A rude shocks awaits everyone

I see 3BHK homes now listing at 2-4crs. Is it becoming Mumbai?

Why are homes in Pune getting so costly?

Senior Data Engineer

What are your net worth targets and goals by age?
Here's mine:

25: 10L ✅
30: 50L ✅
35: 1.5 Cr 🟡
40: 3 Cr 🟡

Net worths target and goals by age...

Here is the break-up - 
Residential Plot we Just bought from our Indian Stock Selling - 90L
Equity - 40L
Crypto - 6L
US Stocks - 26L
Mutual Funds - 10L
NPS and EPF - 22L 
Cash - 6L 

I have not factored in inheritance of about 1CR which will be passed on to us in a long time but I don't want to count that as mine I want to pass that to my son... As that will be his not mine! 

3.5 year back I had a educational loan of 17L and my Wife had Equity of 17L so basically we were at 0 at that time... 

Nothing has changed at all for me... And I do not think even 10-20CR would change me too 😉 I am still a confused stupid... And will be forever ♾️

I have resigned from my current job as I was not satisfied.. I am looking out for more opportunities outside so that I can build the house with that money! 

Even with 2 CR I don't think I have achieved anything ... I have a long way to go from here ☺️

Reached about 2CR! Still Feel Poor! WTH is Wrong!

Not 2Cr even 20Cr you won't be satisfied. 
  
 First, think about what you want out of life, money is not (the only) goal.

Luxury Property Boom to Skyrocket Home Prices in India

Discover More

Personal Finance on

by Kendall Carmden

TripAdvisor

Property in India

News Discussion on

by Kendall Lee

Google

Discussion about post white collar labour economics

Bangalore on

by Coy Vernon

Microsoft

Did you notice? Bangaluru housing prices have EXPLODED

Personal Finance on

by Aaron Lee

Stealth

Real estate markets

Misc on

by Blair Nadeen

Stealth

My one dream is own house, now reconsidering

Personal Finance on

by Matilda Everett

TCS

Home Loan Crisis in India 📈

Personal Finance on

by Aaron Lee

TCS

P2P lending diversification

Bangalore on

by Karilyn Lee

Amazon

Is Bangalore in a real estate Bubble ?

Moving Abroad on

by Matilda Carmden

Series A Startup

To people who choose to stay in India, what made you stay? 🪷

Personal Finance on

by Coy Taye

Cognizant

Being in top 5% or 10%, I feel blessed.

Personal Finance on

by Karilyn Carmden

Stealth

From the below options,Which one do you prefer and why

News Discussion on

by Dezi Hyrum

Google

In 3-5 years, there are going to be insane default on home loans by those who believe their salary is going to be same to more than their current salary. A rude shocks awaits everyone

Misc on

by Karilyn Denver

Stealth

Why are homes in Pune getting so costly?

FAANG on

by Kendall Lee

Zepto

Net worths target and goals by age...

Personal Finance on

by Blair Lee

Stealth

Reached about 2CR! Still Feel Poor! WTH is Wrong!

Personal Finance on

by Kendall Taye

Startup

This is no time to buy a house