Housing Bubble and India

Is Housing Bubble there in India ? Lets understand in simple terms.

What is Bubble? :
If any trade happens with high volumes because of speculation well above the intrinsic value. Identifying this bubble in real time is impossible and only can be identified after retrospect, when there is a sudden drop in the price which will casue the bubble to burst. Also referred as crash.

Housing bubble :
It's a bubble describe above that occurs in local or global real estate markets.

How to Identify :
It is characterized by rapid increases in the valuations of real property until unsustainable levels are reached relative to incomes, price-to-rent ratios, and other economic indicators of affordability

How does this effect ?
Housing Bubble causes the sudden decrease in home prices that can result in many owners holding negative equity—a mortgage debt higher than the value of the real property.

Where is it in India :
You can see everywhere in India (hyderabad, Chennai , mumbai and many more..)

more .... stay tuned