Urbanisation and FOMO
India is urbanising like there's no tomorrow - nearly 42% of the population is expected to live in urban areas by 2035, from 34% in 2022. Property prices are tracking this trend, on steroids. With this comes a deep-seated Fear of Missing Out (FOMO) - if I don’t buy now, I may never be able to afford it.
According to ANAROCK Research, the average ticket size in Mumbai increased from INR 1.5 crore in 2020 to INR 2.15 crore in 2024. The thought of being 'priced out' spurs younger buyers into early action, even if it means stretching finances.
Second Income
Unlike earlier generations, modern Indians don’t just buy to live — they buy to earn. From co-living spaces to short-term rentals on platforms like Airbnb and Stanza Living, property is an income generator today.
Fractional ownership in commercial real estate is booming among HNIs and NRIs eyeing INR 10–25 lakh investments that can yield 8–10% annual returns. Platforms like Strata and hBits are seeing exponential growth.
It’s not just bricks and mortar. The quintessential Indian love affair with real estate is an emotional investment cloaked in rationality. It is about stability, status, security, and sometimes, just a sense of having 'arrived' in life.
To paraphrase the slogan of a Mumbai-based architect, we don’t buy homes in India. We write our stories – one EMI at a time.
The writer is Executive Director & Head, Research & Advisory, ANAROCK Group. This is the second part of the article that appeared in the previous REJ page dated October 12, 2025
