India’s property market has been on a tear because the pandemic, with costs in top-tier cities like Mumbai, Bengaluru, and Hyderabad climbing as a lot as 30%. Surging demand, restricted new launches, and investor urge for food have saved the market buoyant.
However whereas many await a correction citing excessive EMIs, flat salaries and regulatory headwinds some argue that banking on a crash might be a expensive mistake. A current Reddit publish captured this sentiment, triggering a wave of reactions from customers, who consider that Indian actual property, particularly in metros, is unlikely to lose steam anytime quickly.
In a publish that rapidly gained traction, a Reddit consumer cautioned towards the assumption that India’s actual property market is poised to crash. “Those that subscribe to this can miss out on ever shopping for a property in high cities,” the consumer warned.
Countering the concept AI-driven job losses might set off a collapse, the consumer wrote, “Many of the arguments for value crashing depend on the fears of AI eliminating jobs… Simply think about if AI actually destroys the roles at such scale, then not solely RE however the complete economic system will go into hunch… My thesis is chance of this taking place isn’t very excessive. Traditionally world has solely moved ahead economically, and it’ll proceed to take action.”
They argued that main cities will proceed to dominate as a consequence of concentrated infrastructure and authorities spending: “The roles will all the time be concentrated into large cities… Govt does lot of spending there and has vested pursuits into cities doing nicely.”
Dismissing the concept actual property is ever “low cost,” the consumer added, “A 3bhk was costly at 50 lakh in 2010… costly once more right now at 2 cr… and it’ll look costly in future as nicely.”
The publish resonated with many. One commenter mentioned, “All my pals… who’ve purchased properties… paid value that they thought was very excessive… Issues can solely change if govt deliver insurance policies that deliver jobs in t2/t3 cities.”
One other chimed in, “Common dwelling value/common wage of any main metropolis have all the time been 10–15x… If market crashes, particular person with 5 Cr liquidity will purchase 10 houses… Earn extra so you could possibly afford extra.”
A 3rd added, “Agree that the doomsday state of affairs of AI wiping out jobs en masse appears unlikely… Your level about large cities is spot-on… most jobs, particularly high-value ones, cluster in cities.”
Others echoed that sentiment with real-life examples. “Even when AI have been to remove all the roles, RE in large cities will stay costly… I have been listening to about Pune/Mysore killing RE costs in Mumbai/Bangalore for 30+ years now. But, it hasn’t occurred.”
Highlighting the gradual tempo of improvement even inside metros, one consumer famous, “Once I moved to a location in North Bangalore… solely now almost after 15 years it looks like part of Bangalore. Think about how lengthy it’s going to take for tier-2 cities to return up par with tier-1?”
Their conclusion: “Perhaps 3 generations down the highway… RE will slowdown/crash. Till then, proudly owning a home in tier-1 if you’re anticipated to work there for greater than 10 years is a no brainer.”
