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demand for 2 and 3 bedroom indian property increasing

News Posted On: 21 October 2009

Demand is increasing for 2 and 3 bedroom homes in India a new research report from Jones Lang La Salle has stated.

When the downturn set in developers moved away from developments of large luxury apartments and villas that targeted foreign buyers, to concentrate on affordable schemes that would appeal to locals.

The key word in that is luxury, not large. Of course a natural progression of building affordable housing leads to the development of family homes.

The initial wave of affordable housing development targeting the growing middle class as thousands left Indian universities each year, was for apartments for the new single working man, a logical progression is that they would meet members of the opposite sex and start a family.

However, it is likely that speculative investment in Indian property will also restart very soon, because of the country's continued economic growth throughout the global downturn.

The current trend in property investment is to look for solid rental income, and Indian property is among the best in the world for residential rental potential, because of the massive population growth and continued shortage of affordable housing.

The Jones Lang La Salle report mentioned the reduction in prices on large residential properties as a factor in the increased demand. The report seems to indicate that this demand is being driven by local and resident buyers at the moment, but if that is the case now it will only be a matter of time before non-resident Indian's are driving up prices in the country once again.

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Article written by Les Calvert

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