The cities which generate higher number of jobs are always sought after hotly. Such areas normally have higher prices and this proves that property prices are determined by the job-generation capacity of the city.
Property price of a city is highly influenced by the city’s job-generation capacity. The city which offers higher number of jobs is hotter and property prices are higher in such cities. However the other factors seem weaker in influencing the property prices of the area.
Property prices change according to the changing trends in construction costs and inflation. Yet there is no drastic change in prices as long as the property is located in a highly job-generating area.
Real estate sector grows where there are better job opportunities. With better and higher job opportunities cities like Bangalore and Chennai, both are South Indian IT hubs, other cities such as Pune and Hyderabad achieves greater pace of development. Read More