Thursday, June 12, 2008

Aam admi’s Concern

Inflation is likely to take its toll on the property markets. The cost of living in Indian cities is rising like anything. The RBI in its annual policy for 2008-09, had expressed its intentions to bring down the rate of inflation to 5.5%, however, it had reached record high of 8.4%, averaging between 7-8%.

Rising fuel cost, also, is not a good sign for the markets. The cost of construction will rise.

Certainly, you and I, who could earlier think of buying a residential property on an EMI, will now have to recalculate how much can be paid towards loan installment.

Tough time!!!