Hyderabad households project affordability of housing loans
Few cities have reaped higher opportunities to afford their own residences due to higher household incomes, reduced mortgage rates, and predictable housing prices, as per property consultant JLL India in 2020.
A household's eligibility to apply for a housing loan at the persisting market price according to their average annual income is embodied by the Home Purchase Affordability Index (JLL HPAI 2021). The prominent cities with the potential to afford personal housing are Hyderabad, Delhi, Mumbai, Chennai, Kolkata, Bengaluru, and Pune, as computed by the index between 2013 and 2021. The household incomes experienced exemplary growth of 7-9? in the current year's markets, as asserted by JLL. Hyderabad was the only city in India to encounter fluctuations in the home prices, while all the other city's rates remained dormant. The affordability has strengthened due to curtailed EMIs and meager mortgage rates trending from the past 15 years.
Hyderabad is expected to transcend the 200-mark affordability index as the standard incomes are sufficient to acquire a home loan for two 1,000 square feet apartments or one 2,000 square feet apartment in 2021.
A value of less than 100 indicates the insufficiency of a household to apply for a home loan. Efficient eligibility to afford a home loan is determined by an exact value of 100, and a value exceeding 100 projects surplus qualification to assign for a housing loan. Hyderabad's affordability index was measured at 193 and is now expected to accelerate to 203 in 2021.