Mumbai has been an important location for centuries and even today, Mumbai is known as the economical capital of India. There are several industries and job opportunities. Be is small or huge, from starting a small stall to owning a well-known company, there is a diversity in population in Mumbai. This has led to growth in population which ultimately led to these things to happen:
1. Increase in employment - As mentioned before, there is a lot of opportunities for people to start their career or business in this city.
2. Migration - This has led to a lot of migration to Mumbai from various parts of the country.
3. Demand and Supply of Land - Due to this, the demand for both, residential as well as commercial property is always high and when compared to demand, the supply is low. Another part is that the availability of land is also less as Mumbai is already a developed city.
4. Cost of Land - Due to high demand and low supply, the rates ultimately increase. Also, there is very less availability of land to construct a building which makes the existing property rates high.
Our friend Vishwas has aptly mentioned the major reasons for the prices of properties in Mumbai being this high. I totally agree with him and I feel the main reason is the high demand of the properties which isn’t being met due to unavailability of property and land.
Another reason I feel should be taken into consideration is that the inflow of migrants in Mumbai is continuously increasing despite the fact that there is no or very less availability of land and property for residential purposes. Yet, in the search of a job and building a career or a business, people don’t mind adjusting and living in small and confined houses.
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Why prices of properties in Mumbai is very high?
Aarushi
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October 21, 2020
2020-10-21T19:24:43+00:00 2020-12-15T13:20:02+00:00Comment
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Investment
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