How are these apartments priced and why are they so costly?

Post 2004, India has seen good growth due to IT/BPO sectors and employees working in these sectors started getting huge salaries and they started spending money, as a result many other sectors flourished well. Employees in these sectors considered buying their dream houses at very young age creating sudden demand for housing. With both husband and wife working, they aimed high and went on to buy a luxury house even if it’s little difficult to them. They thought their jobs are safe and their increments will always increase year on year.

Due to this demand for land, land owners have increased their property prices exorbitantly and these builders bought these lands at high cost as they will anyway pass this to consumer. Due to the same demand across locations, the cost of construction material, services of labor also increased. With all this hype around, investors invested heavily into real estate sector thus pushing the prices further to the north and this is the obvious time to make money for any builder and their margins were huge. Advertisers, middle mean also made good money.

With all this happening, it’s certain for the property prices to increase.

Now that, IT/BPO sector is under pressure and employees no longer consider their jobs safe, can they invest in properties?