Residential Apartments in bangalore, prices subdued in major cities in India

A prominent question that is on the mind of everyone is that have the residential prices subdued in major cities in India? Form the internet information and some reputed people of this industry say that prices in Bangalore, Mumbai and Delhi NCR has seen a slowdown. The main reason behind this price subdue is the strict rules and regulation made by RBI because of high inflation. RBI is not releasing funds just like that and thus making it difficult to get home loans. Some of the problems that are faced by the common man are discussed below:

Major observations:

• Affordable section performing quite better compared with Rs 50 lakh and more than that.
• Harsh financing and high inflation leads to weak consumer sentiments.
• People are seeing for smaller size rather than going with larger ticket sizes.
• Suburbs are now considered as the highest investment zones compared with other areas in the city.
• More material cost, labor and transportation costs have increased the rates of residential apartments in Bangalore, Chennai and other cities.

If we talk about Mumbai and Chennai market then there is approximately 20 to 40% slow down. Form the money point of view, market is still open for buyers but the housing above the amount of Rs 50 lakh is dominating the industry.

In the case of Delhi and NCR, price levels are still stable. Unfortunately, the rates of increase are not like the last year. In addition, there is a slowdown in transaction also.

If we see Bangalore market, then it has performed quite steadily in first two segments of the year. East and North Bangalore are more benefited as the demand and rates are up there. The last two years were good for Bangalore and this year there can be impact on the market because of the subdued prices.

Conclusion: With so many changes happening in the country, the industry of real estate is also not left untouched. Subdue can be seen in residential prices because of the strict rules and regulations by RBI.

via:http://i1properties.com/blog/residential-apartments-bangalore-prices-subdued-major-cities-india/