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Other added advantages
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Author bio:
Marina Machineries Ltd leading Manufacturer and Suppliers of Maize Mills in Kenya, Africa supplies Maize Grinding Mills useful to grind maize to prepare food instantly and prepare UGALI.
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Home Buyers are Turning Younger by Five years on Every Two year Business Articles | October 1, 2015
With the passage of time the people perception towards investment has changed a lot. Those people who used to save money to buy property are now buying property first and paying later. It is not only the scene of Bangalore but it is a situation in every metro of India as buyers are becoming younger what they used to be. From bank home loan statistics it is clearly interpreted that property investors turning five year younger on every passage of two year. Most of these buyers are investing on pre launched properties from land developers#7# which is a strategy to attract buyers by the developers.
Days are changing at a faster pace. In 1990’s one could only imagine that a home buyer would be 50 plus years of age. In 2000’s the picture changed and the average home buyer’s age dropped to 45 plus. Now the average age of the home buyers as noted by the banks from the applicants of home loans stands at 28 plus. Statistics point out that the home buyers’ average age is dropping by five years in every two years. Earlier the home loan tenure of loan repayment provided by banks stood at 15 years and now it is 25 to 30 years. This is the change that is being noted by the real estate and the financial institutions alike.
Why the change?
The realtors remark that earlier, that is before the advent of the IT industries the situation was completely different.? People used to save money and then buy and now the situation is they buy and repay later. There has been change in the economic characteristics and affordability of the demography too. People who were born in the mid 1900’s were called midnight children. Most of the middle class had ancestral property. People who were in need of an urban home built it at the end or the middle of their career when they approached 50 years of age. Most of their spouses were also not working women.
The sociologists say that these people’s sons and daughters are now 45 to 50 years of age who were bred up in the traditional industry environment who could only imagine of building a home of their own before 45 plus years of age.?
But the people born in the 1980’s had a better luck in terms of education and industrial growth. They were established and started earning higher salaries early in life. Most of their spouses are also an earning member of the family. This gives them an extra liquidity and affordability. Another point that the financial expert makes is the young generation of today have realized that the rate of growth of property prices are also not the same as it was in the 1980’s and 1990’s. So they need to act faster and so they can’t afford to save and buy the property.