Properties In India Aren't Attracting The Youth Of The Nation, But Why?
India is a vast nation, with a population of over 1 billion people. However, more than 50% of the total population is comprised of youth below the age of 25 years. This proves that the strength of the nation is highly dependent upon the education and success rate of growing adults in the country.
The youth today are the driving force of the nation. Almost every business, from banking and finance to advertising and even large political parties, are focussing their marketing efforts on impressing the younger population. Majority of contributions to the national GDP are derived from the larger efforts put in by the young populace of the nation. These statistics speak for themselves and state the now obvious fact – the youth today can make or break the nation.
However, when we consider the rate at which they are purchasing or renting properties in India, the youth are showing a considerable disinterest in many ways. Surely, there must be something wrong.
For the faster growth, rapid expansion and progress, it is essential that the younger generation invests in property and the real estate sector. Various upcoming projects in Mumbai and other metropolitan cities are failing to generate as much interest from youngsters, as expected. Some of the major reasons why the young adults are shying away from property-based investments are :
Hesitation To Migrate - The vast majority of people living in agricultural states such as Punjab and Haryana have access to local newspapers and news channels on satellite television. On browsing through the Classifieds section of these newspapers, they are often exposed to the exorbitant prices charged for commercial property in Mumbai and other highly developed cities. The steep prices and excess taxation acts as a demotivating factor in their decision to migrate to urban cities in their search for success and expansion.
Rising Inflation Rates - In greater cities like Mumbai, Delhi and Bangalore, inflation rates have hit an all time high, since the last decade. Property rates for small flats and studio apartments in urban cities are almost the same as the total price spent on purchasing land and building a fully furnished villa from scratch in other underdeveloped areas. Moreover, the rising prices of daily commodities and FMCGs have put off most potential young buyers from even loosely considering a move to developed cities.
Higher Rents in Urban Cities - The rent rates in urban cities like Mumbai and Delhi have skyrocketed since the turn of the last decade and so have the number of youth who have migrated to these cities in search of employment. However, the high rent rates have made it nearly impossible for youngsters to live in their personal room without any room-mates or extra financial support. This also creates lack of privacy in exchange for a high price.
Lower Income Levels - One of the major reasons for lack of interest shown by youth in upcoming projects in Mumbai and other metropolitan cities is low income levels. These cities have witnessed the arrival of large scale migrants, majority of who come from lower middle class families. These young adults are very ambitious and highly motivated by the examples set by their predecessors. However, lack of adequate financial and other monetary resources have disallowed them from staying in these cities for too long and achieving their dreams.
Rapid Increase in Pollution - Pollution levels have seen a substantial rise since the turn of the 21st century. Certain states in India have introduced various laws to curb the increasing pollution levels. However, the relief provided by these laws has been far from satisfactory. The rising pollution and food adulteration levels have affected the psyche of youngsters, who now refuse to purchase properties in developed cities, for health purposes.
