Mumbai, home to some 24 million people, is among India’s most expensive real estate markets. Yet, owning a piece of realty in this property hotbed is becoming more affordable vis-à-vis similar realty hot spots. Knight Frank’s latest report on ‘Urban Futures’ names Mumbai as one of the most affordable cities among its global peers. It said the annual household income in Mumbai grew 20.4 per cent during 2014-2018 while housing prices rose about 8 per cent, making houses more affordable.
The reason behind increased affordability is the reduced unit sizes and largely stable prices. It is estimated that on an average, newly-launched homes have become smaller by 25 per cent between 2014 and 2018. The maximum number of launches, especially in last two years, i.e. 2017 and 2018, have been in the affordable, mid-ranged segment with ticket prices not exceeding Rs 75 lakh.