Indian Real Estate Bubble
As the real estate bubble in the USA progressed from 2002 onward, it also gripped Indian Property markets. Indian property markets became a "get rich quick" ponzi scheme similar to prior bubbles in the history such as tulips and dot.com.
Real estate prices in some cities of India like Delhi NCR and Bangalore stopped having any fundamentals attached to them. Everybody became a investor in real estate. Builders appeared in the market like mushrooms. Rupee 1 crore which used to be a huge sum of money in India until only few years back, is now only good for buying a earthquake prone dingy 2 bedroom apartment in Gurgaon region. You could put that same 1 crore in the bank fixed deposit at 10 % and make 10 lakhs per annum, but renting that same apartment will get you max 2 lacks even in the best areas. In short, property buying and selling became an end in itself.
Starting 2007 onward it dawned on the market participants that prices have no relationship to fundamentals anymore and a bubble was in progress. Just like Indian stock market bubble which popped in 2008, Indian real estate bubble is in early stages of a crash. Unlike stock market where liquidity is high, popping of a real estate bubble will take a long time, perhaps upto 5 to 6 years. When property prices again start showing some relation to fundamentals, buyers will return. Alas that is still few years away.
To be perfectly honest,
To be perfectly honest, selling your home is something that should be left up to the real estate agents. That is what their job is and that is certainly what you should be hiring. Finding the right real estate agent can be hard though.arizona real estate
Real Estate is for living.
Real Estate is for living. Buying a house and maintaining it costs a lot of money. Builders and other vested interests will tell you that real estate should be bought for investing. May be as a inflation protection hedge, it is okay. If the value of the property is going up at the rate of inflation, given all other things such as demand and supply constant, then it is okay. To think you will double your money by investing in real estate is not to understand economics. If this is a "fact" that you will double or triple your money by RE investing, then everyone will get into RE investing by leveraging, that is to say by financing the purchase through a bank.
Look at what happened in US, from 1999 to 2006, a perception was created by vested interests such as realtors, mortgage brokers etc that real estate values always go up. Now the reality is coming back to haunt everyone. US financial system is at the verge of collapse. So much bad debt got generated in the real estate boom.
I feel Indian real estate will return to reality soon too.
Here is my question:
Roti Kapda Makan are 3 basic necessities of life. If hoarding grain with the purpose of increased prices in the future is illegal, why hoarding real estate is not illegal. If you see places like Delhi NCR, financiers have totally screwed up the real estate market. It is hard to say what is the actual demand.
Rates will be cheaper within coming months
Last sunday,I was searched on www.propertywala.com and www.majicbricks.com ,the property cost was down day by day.I can easily buy my dream house within my reach limit.I can easily buy a 3 BHK within 20 Lakh in east delhi with full furnished and all the aminities.
Indian real estate market
Indian real estate market has crashed big time. Prices are down in Delhi NCR and also in other major metro cities where bubble was created by greedy builders and dalals. Let the market return to reality.
Long term future of real estate in India
Long term future of real estate in India is not bad. Compared to United States we do not have infinite land. Our population growth is high. There are some communities in this country that will produce as many offspring as they can, as they think family planning is against their religion. In the light of this, I am sure markets will return to long term secular growth soon.
This is to real estate
This is to real estate agents i live in indiana do real estate agents make good money?I used to sell electricity and did really well but im not sure about the whole real estate thing if anyone knows anything i would like to know if they make good money and how long it takes usually