A 1BHK flat in Khar went for 4.5 crores. Now granted the situation was a bit different for this flat but in general the real estate prices in Mumbai (based on news) is spiralling higher and higher. I am wondering how the common man can afford a flat in Mumbai any more ?
Here is the article:
http://timesofindia.indiatimes.com/city/mumbai/1-BHK-flat-in-Mumbai-sold-for-Rs-45-cr-/articleshow/6076922.cms
Prices are definately on high end. but need to understand the economics too..
The flat is ~600 carpet so superbuildup will be ~1000 and thats 40% of FSI so the builder can sell ~2500 sq ft.
So the land cost will be under 20k. Construction cost will be less then 5k
The builder may be able to sale at 30-40k considering khar and 17th rd..
Further, he can buy TDR too..
In nutsell, the 1BHK flat builder will buy will be sold as lux 3 BHK
I remember having this discussion even while camping……in today’s day and age Mumbai would probably top the cities providing worst value for your money to live in. No wonder most jobs other than financial services are moving out of the city……
I think it is way too expensive. I dont think this kind of growth is sustainable.
On the brighter side, atleast now housing seems more affordable and cheap in Bay Area:-)
Most of the old buildings are going through redevelopment. Builders are paying 1.5x to 2x to empty the building. My uncle recently got 22K per sq feet in Ghatkopar.