Let us stop benchmarking and comparing with world cities. In India the property prices by mafia and foolish policies of Chidambaram and MM team has been jacked up by 60-150% per annum since last 5 years. A plot in Panchkula sector 21 near Chandigarh was sold by my friend in 19 lacs in 2001, is now Rs 90 lacs .It is simply ridiculous.No more proof is needed. Same way you see diaries of any housewife and compare common commodities used in household including drugs.Or see copies of retail bulletins published in Delhi and other magazine or even Economic times, you will see there is average increase of 15-30% in various times per years since 2002 (except for electronics sector). Indian common man can no longer by even 100 sq yd land even outside city limits too.And can't make a 2 BR house at current steel and cement prices.It will take a small family of average un organised sector worker( with average salry of rs 60000 per year) 100 years to repay this cost of house.Rents will naturally shoot up and it has spirall effect on prices and inflation .Circle is vicious.The fools in governments could not do anything or may be dont want to do as corrupt 5% top Indian society segment are busy looting money in one form or other and amassing property to absorb huge cash surplus and balck money and to speculate in future. Government must bring some legislation and take other economic steps to drastically reduce prices to 50 % of current. For this about 10 million sq meter land should be released at low prices by government in good and well planned schemes through central and state AGENCIES in all states. The formulae are simple.I can bring down process within 6 months if powers are givcen me to do acts. No one wants to do it.The loot is going on shamelessly and our FM adding more and more taxes without asking permission of people.He is suffering from illusion that once elected and made minister he is now reporting to Queen of England and not voters of india.Has he saught public opinion before levying so many teaxes and high rates? What authority he has got.Sack him and withdraw service tax and so many taxes levied by this gang of incompetent ministers and babus in UPA government.Congress has to be wiped off Indian political scene as it has crossed all limits of decency and honest governance.It has cirrupted the india society and has made life of common man miserable.
RE:Soon Indians will live and work on roads and grab properties
by Citizen on May 23, 2007 07:11 AM
Professor Gupta, how true it is. I am just 32 years old, and already I remember things "as they used to be". In the last 4-5 years things have gone to such an extent that ordinary people like me have to bleed to get a decent house in the outskirts of a decent city where there are jobs. Everything has spiralled up unbelievably, but the inflation figures have been in the 4-6 region. I don't believe it. All my savings, all my plans for the future are wasted. Its pathetic. Salaries are going through the roof - 1 lakh per annum for some, while there are millions who can't get a decent job. What is happening to our country. We are being carried away by the cartel between the media and the government who are collectively fooling all of us citizens.
Let us top benchmarking and comparing with world cities.In india the property prices by mafia n dfolish polciies of chaidambram and MM team has been jacked up nby 60-1650% per annumsince last 5 years. I plot in pachkulla sector 21 near chandigarh was sold by my friebd in 19 lacs in 2001 is now rs 90 lacs .It is simply ridiculous.No more proof is needed. Same way you see duiaries of any houseuwife and compare comong commodities used in houselhold including drugs.Or see copies of ratil bulletins published in delhi and other magazine or even Econbomic times, you will see there is average increase of 15-30 5 in avruious tiems per years since 2002. indian common man can no lomngre by ecenb 100 sq yd land outside city limit too.Anbd xcant make a 2 BR house at current steel and cement prices.It will take a small family of average no organised sector worker 100 years to repay this cost of house.rents will naturally shoot up an duit has spirally effect on prices and infklation .circle is vicious.the fools in goverbemtns caould not do it.or reahter dont want to do as corryupt 5% top of indiansociety are busy looting money in one form or other and amssing priperty to absorb huge cash suprlus and to speculate in future. Goverbment must bring some legislation and other economic steps to drastically reduce prices to 50 % of current. For this about 10 million sq meter kland should be released at klow privces by governemnt in good well planned schmes through cenytral and state AGENCIES. the formulae are simple.i can bring down prioces within 6 months.no one wnat to do it.the loot is going on ahamelssly and our FM adding more and more taxes without asking opermnission of people.he is suffering from illussion that once lected an dmade minister he is now reprotingto Queen of england and not voters.has he saught public opnion befor levying so many taces and rates? What authority he has got.Sack hime and withdrwa service tax an dso many taxes leveied by this gang of incompetent ministers and babus in UPA government.Congress has to be wiped off indian polticial scene as it has crossed all limits of decency and honest governance.
I M LIVING IN DUBAI WHERE A THREE BEDROOM APARTMENT RENT IS STARTING FROM Rs. 1,00,000 TO 3,50,000 PER MONTH.
IS RENT IN MUMBAI IS MORE THAN DUBAI????? OR SURVEY IS WRONG......!!!!!
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RE:HOWS THAT?
by shashank k on May 23, 2007 01:46 AM
the analysis is on various factors.. including the foreign exchange. u must b earning 10lacs p/m to shell out that rent. average mumbaikar earns 20-50 thousand n so rent of 10 thousand is expensive... got it?
RE:HOWS THAT?
by Krishna Ramamurthi on May 23, 2007 02:10 AM
Its not adjusted to local salary levels or foreign exchange. They are comparing the price of a 3 bedroom of "similar" quality. However it is hard to assess if the survey compared prices for the same market (posh/luxury/modern) across the different cities. So ofcourse you can come up with exceptions. But the truth is that in real estate, supply and demand is local, and bombay has lot of demand, lost of people with cash, and less supply of modern condos. Dubai may be richer, but Dubai also has lot more residential luxury apartmens than bombay. Can't live in Dubai, and commute to Dalal street in Bombay can he/she ?
You say anyone in Mumbai can make a fortune with a 'handful of petty cash'.
That's truly astonishing !!
How many do you really know who made a fortune with a handful of 'petty cash' ? Did you make a fortune with just petty cash for a beginning ? Perhaps the people of Dharavi and the residents of tens of thousands of chawls in Mumbai should consult you to escape what admittedly are lives of sheer drudgery ? Perhaps the residents of tens of thousands of low end flats too should rush to see you to seek relief ?
Or perhaps the ubiquitous mountains of human excreta that come on public display every morning along Mumbai streets and backyards are just some of those uniquely third world kind of manifestations of millions becoming affluent after starting off with just a 'handful of petty cash' ?
Or would you argue that Dharavi and other such neighbourhoods in Mumbai are mere lifestyles that 'fortune winners' have willingly opted to adopt ?
True, a large number of people in Mumbai have gone from rags to riches. But perhaps the mode of fortune making in most such cases, i.e., through knavery (theft) of varying levels of sophistication, is also another manifestation of an 'emerging India' or an 'emerging third world' ??
It is said that a successful knave invariably acquires a conviction that his loot has been made through true enterprise, not by subversion of laws of the land. Perhaps, the Indian nation ought to legalise such 'enterprises' considering that the 'rest of the world', notably the multinationals investing in India and salivating at their investments just as their bosses sitting in western capitals would salivate at fattening pigs in their farms, looks on with 'admiration and approval' ???
The price hike in Mumbai is primarily due to 2 reasons.
1> Lands locked in South Mumbai which were on old, shut down textile mills. 2> Lands locked in old chawls and few government PSU whose land is worth more than what they produce.
There are estimated 600 to 800 acres of land in central and south central Mumbai which are slowly being recycled to me made avilable for residential and commercial purposes. It needs to go faster, the central government and the Parliament with its absent minded lefts keep slowing and blocking any new reforms and want the textile mills to be restarted. Its not profitable to run a textile mill in Mumbai when the land it stands on is worth 1000 times more than the production and turnover. On the other hand the mill owners also must show honestey and give the golden handshake and VRS to the workers . pay their dues and then sell of the lands to have the high rise towers and skyscrappers. The opposition is because the mill owners want to sell of the lands and not pay the VRS and golden handshake to workers which is wrong.
Secondly south Mumbai has lot of chawls and old buildings which are at prime locations. The rent control act locks them and prevents them from being sold, and the rents of 1949 does not make it feaseable for anyone to own and run it profitabbly too. The rent control act needs to go away and those older structures can also make way for newer taller and swankier structures.
Lastly Mumbai needs to have the SRS (Slum Rehabilation Scheme) implemented to the fullest, There may be some complaints of currouption , but the slums occupy prime locations , which in reality need to be utiliesd and used is a fact no one can deny.
All these steps will increase supply of land and which will make more people live in south Mumbai.
Listen to this. PEOPLE LIVE IN MUMBAI SUBURBS ONLY BECAUSE THE MUMBAI TOWNSIDE PROPERTEY MARKET RATES ARE UNPRACTICAL.
When the rich and affulent and the upper middle classes can afford South and Central Mumbai,
The middle classes and the lower middle classes will be able to live affordabley in the Mumbai surbubs
RE:Real estate prices of Mumbai will come down by using old mills land for residential purposes
by shyamsundar seshadri on May 23, 2007 12:09 AM
IT SEEMS MUMBAI WILL HAVE ONLY BUILDINGS AND PEOPLE WILL NAME THEM SUNFLOWER AND JASMINE BUT WILL THERE BE GREENERY EVER
