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affordable property in india for investment in 2009

News Posted On: 17 March 2009

Demand for affordable housing in India is still far outstripping supply, according to overseas property portal Property Abroad. The growing middle class and services sectors continues to generate demand for affordable housing, which is in short supply to meet it, according to the portal's director, Les Calvert, he said:

"The [Indian] middle class continues to grow, new industries like graphic design continue to see massive growth, and millions of university graduates are finding jobs or starting businesses and looking for affordable housing to buy and rent.

"Previously the luxury housing market in India was where the big money was to be made, and most developers focused their efforts there, now, those developers are struggling, and the ones that are able to survive are turning their attention to more affordable developments where there is the greatest need for more affordable housing."

Affordable housing in emerging market economies, well those still emerging and not declining, is thought to be one of the only property investments worth recommending for 2009. India is most certainly still emerging. Though it has suffered badly from the global downturn, unlike other economies that are falling into recession, India is expected to see between 4 and 6 percent economic growth in 2009, which is to pick up in Q4 2009 and beyond.

Property Abroad are currently advertising dozens of properties for sale in India, including an affordable housing development in Poladpur. The Hill View development offers 1 bedroom apartments from £25,000, just 5km away from the Poladpur Special Economic Zone; an area of great potential growth and great demand for such affordable housing. The development offers 7% guaranteed rental yield for the first five years.

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