Across India’s booming cities, homeownership is slipping from aspiration to near impossibility for salaried professionals. In Mumbai, buying an average home now requires 15 years of household income—double New York’s 7.1 years and far higher than London’s 8.5 years. Delhi-NCR demands 12 years, while Bengaluru and Hyderabad hover near 10 years, making India’s metros among the world’s least affordable.
Between 2022 and 2024, homes priced under Rs 1 crore—the middle-income range—collapsed by 36% nationwide. Key cities suffered dramatically: Hyderabad lost 69%, Mumbai 60%, and Delhi-NCR 45%. Meanwhile, luxury and premium launches soared, comprising over 50 percent of new inventory.
Software engineer Rohan Thomas of Hyderabad said, “Builders quoted Rs 12,000 per square foot for completed units. That’s an impossible EMI on Rs 20-lakh annual salary.” Rising land costs, now 30-40% of project budgets, and construction cost inflation—nearly 40% since 2020—compound the problem. Sujay Kalele, CEO of TRU Realty, notes: “The cost foundations for affordable housing have shifted dramatically.”
Even with government schemes like Pradhan Mantri Awas Yojana (Urban), high-growth metros face challenges. Land scarcity, prolonged approvals, and financing hurdles make affordable projects nearly unviable. Vertical towers offer a partial solution, but urban planner Anita Mukherjee warns, “Vertical growth must be matched with transit, utilities, community spaces—otherwise we just stack people on top of congestion.”
Experts advocate bold reforms: genuine land pooling, tax incentives, transit-oriented development, and digital price transparency to curb speculation. As one NITI Aayog adviser observes, “Urban India needs rental housing, not just ownership.” Without decisive action, India risks building cities that exclude the very middle class they aim to serve. The dream of urban homeownership remains a reality for the few, and a distant aspiration for the many.
Source: Daily Excelsior
