The World’s Most Paradoxical Real Estate Market Is In India?


The World’s Most Paradoxical Real Estate Market Is In India?

Mumbai is the densest major city in the world. Over five decades ago, urban planners reduced Mumbai’s floor space index (FSI) to lower the population density of the city. But, this did not happen. People did not stop migrating to the city of dreams for the numerous opportunities it offered. They settled down in confined spaces and made the city their home. Those who could afford, bought homes; rest created the slums.

Mumbai is far more productive than other Indian cities. Yet, income levels in the commercial capital of India are not high enough to match real estate prices in the city. For instance, an average Indian citizen would have to work for 308.1 years to buy a 100 sq mt residence in a prime neighbourhood in Mumbai, while it would take merely 48.4 years for an average American to buy such a home in New York. If building restrictions did not exist, residential property would have been affordable with more homes in a limited area.

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