The once-booming IT sector is apparently putting pressure on Bengaluru's real estate market. Recently, a Reddit user started a discussion by citing stalled hiring and layoffs as key issues. The main topic of debate was whether IT workers should reevaluate their financial objectives in light of economic uncertainties or if now is the ideal moment to invest in real estate.
While some Redditors voiced worries about mortgage obligations and employment instability, others countered that putting off a purchase might result in future increases in real estate values, making homeownership more and more unattainable.
"For IT professionals planning to buy a flat, what's your fallback plan if you get laid off? With current EMIs being so high due to rising property prices, even a few months of unemployment could put you in serious financial trouble," one Redditor wrote.
On the other hand, delaying a home purchase could mean facing even steeper prices in the future. For instance, a house that cost ₹1 crore a year ago is now priced at ₹1.8 crore. The longer the wait, the more unaffordable it becomes, potentially pushing buyers further out of the city as property prices continue to rise, another Redditor posted.
'IT layoffs may slow down real estate momentum in Bengaluru,' wrote a Redditor
One Reddit user noted, "For years, IT professionals drove Bengaluru's housing boom, but that engine is slowing down," underscoring the changing dynamics of the city's real estate market.
Software developers and IT workers were major contributors to real estate sales during Bengaluru's tech-driven expansion, investing in residences with the help of high wages, stock options, and job security. However, many computer workers are reevaluating their financial goals in light of the news of layoffs, hiring freezes, and an uncertain global economy.
According to a Redditor, there is a discernible decrease in demand compared to prior years as a result of many IT workers delaying house purchases due to increased unemployment and economic instability.
'Do not rush to buy homes; consider larger down payments,' a Redditor's advice
A 50-year-old Redditor cautioned against making a hasty home purchase, particularly in neighborhoods that are densely populated with centers of employment.
The Redditor warned, "It may be convenient right now, but look beyond when your kids arrive," highlighting the significance of long-term preparation.
In order to ensure that their investment is suitable for years to come, the user advised consumers to look beyond immediate convenience and investigate neighborhoods that offer a balanced lifestyle.
"Keep your EMI as low as possible and save as much as you can for a bigger down payment. The zero-interest rate policy (ZIRP) period of hiring has allowed many people in their 20s and 30s to earn large incomes, but there is no assurance that their earnings—or even their jobs—will be stable in five years, the Redditor stated.
The user said that as pre-owned apartments are frequently less expensive and situated in more developed neighborhoods with superior infrastructure, they could be worth looking for. "In many cases, resale properties are more affordable than newly launched projects-our own apartment sold for slightly less than a neighboring one that was still years away from completion."
While some Redditors voiced worries about mortgage obligations and employment instability, others countered that putting off a purchase might result in future increases in real estate values, making homeownership more and more unattainable.
"For IT professionals planning to buy a flat, what's your fallback plan if you get laid off? With current EMIs being so high due to rising property prices, even a few months of unemployment could put you in serious financial trouble," one Redditor wrote.
On the other hand, delaying a home purchase could mean facing even steeper prices in the future. For instance, a house that cost ₹1 crore a year ago is now priced at ₹1.8 crore. The longer the wait, the more unaffordable it becomes, potentially pushing buyers further out of the city as property prices continue to rise, another Redditor posted.
'IT layoffs may slow down real estate momentum in Bengaluru,' wrote a Redditor
One Reddit user noted, "For years, IT professionals drove Bengaluru's housing boom, but that engine is slowing down," underscoring the changing dynamics of the city's real estate market.
Software developers and IT workers were major contributors to real estate sales during Bengaluru's tech-driven expansion, investing in residences with the help of high wages, stock options, and job security. However, many computer workers are reevaluating their financial goals in light of the news of layoffs, hiring freezes, and an uncertain global economy.
According to a Redditor, there is a discernible decrease in demand compared to prior years as a result of many IT workers delaying house purchases due to increased unemployment and economic instability.
'Do not rush to buy homes; consider larger down payments,' a Redditor's advice
A 50-year-old Redditor cautioned against making a hasty home purchase, particularly in neighborhoods that are densely populated with centers of employment.
The Redditor warned, "It may be convenient right now, but look beyond when your kids arrive," highlighting the significance of long-term preparation.
In order to ensure that their investment is suitable for years to come, the user advised consumers to look beyond immediate convenience and investigate neighborhoods that offer a balanced lifestyle.
"Keep your EMI as low as possible and save as much as you can for a bigger down payment. The zero-interest rate policy (ZIRP) period of hiring has allowed many people in their 20s and 30s to earn large incomes, but there is no assurance that their earnings—or even their jobs—will be stable in five years, the Redditor stated.
The user said that as pre-owned apartments are frequently less expensive and situated in more developed neighborhoods with superior infrastructure, they could be worth looking for. "In many cases, resale properties are more affordable than newly launched projects-our own apartment sold for slightly less than a neighboring one that was still years away from completion."
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