Overseas property news - All change in india?

All change in india?

The India property market is on the verge of a ‘massive Change’, argues one company…

According to David Stanley Redfern Ltd, there are three things underpinning the changes:

1. Rising land prices.  Land prices in India have quadrupled over the past three years as developers paid major sums for land to build luxury housing developments.

2. Increased earnings.  The number of people earning over $5000 per year is expected to double to more than 20million in the next two years, not least because of the 2.5 million students pouring out of Indian universities each year.

3. Falling land prices. Land prices are expected to fall again in the near future, as developers realise that the real demand in India is for affordable housing.

As a result of these changes, demand for housing is destined to grow, claims the company.

Rudrapur to benefit?

A spokesperson for DSR commented: “There will certainly be demand in Rudrapur, which was designated a Special Economic Zone by the Indian government, offering tax incentives for companies to move into the area. And move into the area they did, with some 450 new factories being built, or already trading on what will become a massive industrial estate on the outskirts of Rudrapur.

”These factories will employ 300,000 people when they are finished, at least 50,000 from outside the area and who will definitely be looking for affordable housing to rent, meaning owners of Rudrapur apartments will cash in on the residential lets.

“But it is also a fairly safe bet that even those employed in the new factories from within the area will be looking for affordable rented accommodation; people living with parents using their new wage to fly the nest, and staff members pairing off and seeking accommodation to move in together.

”The latter will also probably mean people from the area looking for homes to buy in 2-5 years, people getting promoted will also bring home sales in the foreseeable future. All in all the future is bright for Rudrapur, and India property as a whole.

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