When It Comes to Homes, Bengalureans Dream as Big as Mumbaiites - CRIF Home Loan Insights
Mumbai might be the most expensive property market in India, but Bengalureans seem to dream just as big as those living in the country’s finance capital. In a reflection of middle-class aspirations, data from CRIF India, an RBI approved credit bureau, shows that the average home loan size in Bengaluru, at Rs38.3 lakh, is almost the same as in Mumbai, at Rs 38.7 lakh. The same in Delhi, Chennai, Kolkata, Pune and Hyderabad is lower. The average for India is Rs 20.8 lakh, which means that Bengalureans' loan-taking capacity is almost double the national average.
"Yes, I would say Bengaluru is catching up with Mumbai in terms of an aspirational and emerging middle class. What's interesting would also be the performance of sub-sets in the Bengaluru market, just like in Mumbai. I think rates for Thane and Navi Mumbai could be slightly lower than greater Mumbai, where the average ticket size could be higher at Rs 70-80 lakh," said Parijat Garg, senior vice-president, CRIF India.
Shantanu Mazumder, senior director at property consultancy Knight Frank India, said Bengaluru is the fastest selling real estate market in the country. Housing units sold in the city increased 9% year-on-year in the first half of 2019 to 28,225. "New job opportunities in not just IT/ITeS and startups, but also allied industries like taxi aggregators, food delivery, service industry, hospitality and other sectors are seeing a boom. So with the average disposable income going up, Bengalureans are able to buy bigger homes," Mazumder said.