Property rates in Mumbai, India

I really wonder why the property rates are still going up. Looks like the buying capacity of the Mumbaiites is still going great. The rates here are comparable to the best locations in the world. Mumbai, the financial capital of India has always been the trendsetter in the indicative property prices of real estate India Mumbai as such has always been in the forefront when it comes to property prices. It has in the recent years a record rise in property prices at par with some of the highest real estate prices in the world. In such terms, Mumbai, our ‘Manhattan of India’ can put New York’s Manhattan to shame.

The property prices as well as the increase in rental values in Mumbai owe much of its credit to the large scale investments in the commercial sector. Mumbai has always been the hot favorite for most of the corporate sector to have their headquarters in the city. And with increasing investments by MNCs in the IT, ITES and the BPO sector, there has been a growing demand for office space; which have consequently created an imbalance in demand and supply for residential properties. The rental values in Mumbai have also gone high corresponding to that in other metros.




Mumbai is also the fashion capital of India, so it is one of the foremost cities to be hit by the retail buzz. With the opening up of the retail market, there has been a growing demand for retail properties in Mumbai. This has created a viable market for mall space and other retail stores and showrooms. These retail stores and malls are either owned by a business group or leased for hefty prices as the demand is high.

To compare, I checked the rates for New York, USA and here is what I found ... (see picture on right)
For you to understand what a single family home is, you can see here : http://en.wikipedia.org/wiki/Single-family_detached_home. For Condominiums see here : http://en.wikipedia.org/wiki/Condominium