Indian Real Estate Under Testing Times

                                                                                         

Indian real estate industry is going through a testing phase. Inflation is rising like never before. Global oil prices have reached $135 per barrel. The Indian government recently hiked fuel prices by 10 per cent. Prices of food commodities have already disturbed aam admi's budget. What to say about property? Who has got the money to buy properties in India..

"Property prices in India are already at unrealistic levels and over that rising cost of living has hammered down property demand to the bottoms," says Abhishek Chauhan, a property broker and investor.

The cost of financing your property purchase has also increased quite substantially. Even, if you take home loan and buy property worth Rs 35 lakh, your loan installment comes to Rs 35,000-Rs 37,000 per month. This much you have to pay every month till the next 20 years of life. Frightening, isn't it? Looking at the way cost of living is rising in India, you never know that the installment amount, you thought you could well-afford becomes simply unbearable.

As far as property investment is concerned, experts even suggest that you can start thinking of investing in the tier II and tier III cities such as Indore, Ahmedabad, Kochi and Jaipur. The cost of purchasing a property is relatively less and a long-term buyer can expect decent gains. In metropolitans, a middle class would hardly be able to invest in properties and only the big fishes will rule the roost. In this case, even if someone manages to invest in property, his interests can be jeopardized.

About the author:
George Gonigal provides you the best and latest information on Hyderabad Real Estate, If you want to Buy Apartments in India, he suggests you log on to magicbricks.com

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