Brilliant choice of topics Kushal! I think the neglect of urban planning is the biggest infrastructure issue that is hindering india’s growth and quality of life in general! But this issue never gets it’s due in our political discourse.
In india, when Real Estate Proces were very Low, Congress, Com3mies and all Cong allies, would give Layout Permissions without Widening existing Rds ,intersections. For ex ,in Uppal , a National Highway from Hyderabad to Warangal dist , 2 to 4 Lane existed . It narrows to 2 lanes only when Highwy after entering and snd crossing some 10 kms City, reaches Uppal X Rds Where traffic comes to halt . Aslo Olanners were so DUMB, negligent that NEW City , expanding over old villages in one side, thry had NEVER built a Bypass from Uppal X Rd connecting to outside city limits . They let cities expand with narrow lanes endlessly. Now Modi govt has to build a 4 Lane Flyover 20 kms. Just iimagine if they did WIDEN Rd 30 years go, when all buidlings were very Old, easy to DESTROY.. Chandra B Naidu was the one who gave Hyderabad so much beauty. He widened Rds everywhere all over Hyderabad. Removed old Poeer lines and pushed them sideways , bhilt drainages on sides, laid foot paths, bhilt inner ring rd, outer ring rd, flyover in 1990s itself. The Poor man nevr Got power again..
Kushal can u do a podcast on India's brain drain in detail. No one is trying to understand the issue or reasons on why indians are leaving india in record numbers
@@KejriwalBhakt Land Value Tax, LVT for short is a tax on the value of land, for example, the sales price of a property = sales price of the building + sales price of land. LVT is a tax on the sales price of land and not the building. The effect of this is that the sales price of land decreases. The sales price of land is essentially a result of speculation. Suppose, you buy a piece of land for 1 lakhs. The reason is not that the land is actually worth 1 lakh but because the land is a necessary commodity, future homeowners will have no choice but to pay that amount. This is speculation and this is the reason people buy up real estate even when they don't need it, rising the prices further up. This leads to a rapid increase in land prices which makes housing more expensive. The 2008 financial crisis or the Japanese economic bubble is a good example of this. Land speculation essentially caused an economic collapse. China, Singapore, etc solves this problem by not allowing permanent land ownership but instead, they auction the land in leases. Since that is not possible here we can have a simple solution which is land value tax. Another benefit is that, since people will now be paying LVT they'll use the land only if they need it, such as homeowners and not real estate investors. They'll use it very efficiently. So there will be lots of skyscrapers/taller buildings being built, which will increase the housing supply and will decrease housing costs and rents. LVT also generates a large amount of revenue, this will help in decreasing other taxes so that common, middle-class people will have to pay less taxes in total. This will then boost the economy. People who buy property and don't use it efficiently will pay and the rest of us will get to buy houses cheaper. Real estate will no longer be a good investment and people will need to invest in other stuff if they want to. we can see how this will affect each group. 1. Homeowners - Buying a home will be a lot cheaper, with more variety to choose from. However, the home will no longer be an investment. They'll essentially have to pay an amount in rent [i.e. LVT], but since other taxes [like income and GST] will decrease the total amount they'll pay is almost the same or even less. If you live in an apartment complex with 10 flats, you'll only pay one-tenth of the LVT, since it'll get divided among the residents. So LVT will be really small for people living in apartment complexes. 2 . Renters - No huge change. However overall rents will decrease due to new construction and of course, more choices will be there. 3 . Real estate speculators, real estate will no longer remain a viable investment option, since yearly rent payment [LVT] and low cost of housing will not generate large profits.
Biggest Misconception about Modern India is that it's a Rural Agrarian Economy. Cause, 70-80% of India lives in one kind of Urban settlement or another. Secondly, only 15% of India's population engages in serious Agricultural practices.
@@millennialmind9507 According to that only there are only 40 million SERIOUS farming households in India. If u multiply by factor of 5. Then it would come at 200 million people directly dependent on farming. While population of India is at 1400 million. By applying basic maths total farming population comes at 14-15% of India's population.
As Reuben Abraham sir said at 51:00 minute, there's a concept of Wohngemeinschaft (shared apartment) in Germany and its cities-extremely convinient for students and bachelors. Please do check it out. @Kushal Mehra sir.
As the guest speakers said, in a country where there is no/little social security and poor infra, the need to own assets like a house, car etc comes into being. Once the basics are provided, our habits and needs will also change. Continue with such intereting talks!
The gentlemen in this podcast, other than kushal ofcourse, while he does seem very knowledgeable, i would strongly disgree with his view point that people should not give priority to real estate, while yes stocks and other investement gives you much better return, but property is a long term thing, well i have Many reasons, but 1st is property is a generational thing, its not a get rich quick scheme, a very big difference between a Rich person and a wealthy person is, rich is till he works, wealthy person is generationally wealthy and has monetizable assets, he mentions, How majority of people in developed cities of the world live on rent, well guess what, its not because they dont want to own land, its because they cant, because a modest house would cost 15-20 years WOrth yoUr median salary there. He also speaks about american dream, about going to anywhere, well that wasnt it, yes it was to move to new frontiers, but the dream that americans sold, was to have a good house in suburbs with white fence, have a wife at home and 2-3 children, while doing a Modest Job, earning a modest living. Now other than that, right now Living On rent is alright, you rent a 3bhk in okayish area in delhi like laxmi nagar, it would be like 20% of your salary, if you earn good money. But the countries which he mentioned in the podcast, well guess what rent there is 50-60% of their paycheck everymonth, you if you wanna live On rent, in a world where in big indian cities rent is half your salary, good luck for you cause i will be the one renting them to atleast some, some areas in mumbai are already their, delhi and gurgaon are slowing going there too
There are many downsides to rent that you missed, first of all rent is quite expensive in most cities , keeps increasing every year, law inforcement is quite bad in India so security issues, for eg. in delhi any decent 2 bhk in a okay kina locacity costs 14 k min + maintenance charges etc. And it increases 10% every year like this is the rent for a place like mehrauli which isn't some great locality, plus there are issues with renting like u can't exactly decorate it or have the place done according to you so specially for families buying a house bcms a better choice , bcz instead of paying 15 -16k rent every month u can pay emi for house loan and atleast at the end of it you'll atleast own a house and security it provides in many ways. also I don't agree with the fact that owning a house restricts your mobility you can put your house on rent and still live wherever its most suitable for you, for eg. I know many people who bought houses in faridabad or NCR bcz you can buy better housing there at comparatively low prices put them on rent but are living in delhi atleast for time being or visa versa cuz houses in Delhi bring in better rent so I have seen people get houses in delhi in localites that are conjusted and 2 bhk put that on rent but live in good socities in 3 bhk in places like faridabad where rent is much lower. Not everybody is super educated about other investments so investing in a house for yourself is a safe bet instead of paying rent with the same amount of money. Overall in a scenario where rent and emi installments for a house loan are same it doesn't makes sense to live on rent if you have enough money for initial payment n are eligible for loan bcz in case of buying a house u will atleast own the house at end, you are atleast building an asset for your self what's the advantage of paying rent that's increasing every year and going towards nothing.
Speaking of America , there are tons of videos that talk about the space wasted for parking . There’s a very funny story of one of my father’s ex friend’s son’s first visit abroad . He’d never been abroad and because of rote memorisation he got into brown university and his first reaction to all the open space was if this was india there would be chai wala encroachment. He was amazed at the lack of walls and compounds. For security unis have number locks, cameras, round the clock armed police for all dorm buildings . The main problem is that Because we have lack of greenery we automatically criticise the height of a structure that everything is becoming so congested because of the height. We say oh Look at the white picket fence ground floor only bungalows that are open on all sides with so much greenery. Like a white coloured car gives the impression of scale that a red coloured car of that make won’t , greenery automatically gives you the illusion of space and scale when in reality they’re smaller than most urban flats stacked on top of one another but they lack the Singaporean model of planning.
Excellent podcast. Hope we get this in coastal Karnataka. We can get a strong Karnataka with less corruption. Yeddyurappa's son has been involved with buying up land to the tune of 3 lac crore rupees at annas on the rupees.(1/16th the rates). Officially its only to the tur of 1600 crores but unofficially it is much worse. Removing government regulation which is wasteful and only keeping those necessary like Reuben and Pritika state could kill the BJP stalwart's son's corrupt and decadent lifestyle while saving Karnataka. Karnataka has paid a huge price due to these idiots even though our state has more potential when compared to Gujarat. I believe a government under Congress could get this done. BJP will never implement this in Karnataka due to the magic bullet/ Village solution is the result of the careless policies of consistently peddling the Third Way by Dattopant Thengdi as a solution proposed by RSS.
So with due respect to the guests and Kushal, I disagree a little bit on home ownership: - In Indian economy(especially outside the 4 big metros), house ownership has been a very lucrative and safe investment. In Ahmedabad (my hometown) many house owners have made over 15% (year on year on a 20 year time period from 1995). - Home ownership gives people an almost sure shot access to loans, by pledging the house as collateral, perfect example being student loans (HDFC was a front runner via Credilla), business loans, LAP to increase liquidity for senior citizens etc - It gives a generational wealth to next generation when the home ownership is passed on. They might migrate and live any place but there will be an appreciating asset for them. - Most other emotional reasons etc have already been covered by you guys and agree with them. Anyways, so the home ownership has to be looked upon in larger economic context, had there been easier access to finance by other means, deeper bond and equity markets, lot of stress on house ownership for investment would decrease. You already covered better social security nets can decrease homeownership. Also to remember is property market in India has seen less downside, fluctuations are there , maybe rate of return would be lower at some places compared to others but unlike West, Indian property market has not seen great down turns and it will remain a good option since we are in the zone where infrastructure creation, upgradation and scaling is going to be in focus for next decade or so.
Indian housing market will collaspe. Just like every other booming economy and it won't happen just once but multiple times and will become a cycle. Will it affect us as badly as in case of say Japan's bubble? Only time will tell. The only solution is a Land Value Tax. It will also solve our other problem of not having enough [good uality] homes that are available in market as well as high rents. People after a Land Value Tax is brought, will look into other sources of investments and this will help in in aliveating lots of or economic woes.
@@jupe2001 Ofcourse housing market will see a downturn ,similar to any other market but I don’t see a major collapse atleast in the next decade or so (longer if we include Land market) - I do agree people should invest in diversified manner and not spend major chunk in one sector - A better way in my opinion would be deepening the bond market, giving good bond options( including infrastructure, municipal(one of the rounds of Pune MC was a good example etc), encouraging REITS ( currently they exist but not that lucrative or trusted), market them properly and educate public about them as a guaranteed return , and safety option, good returns, much more liquid; make it acceptable for them to pledged as collateral for access to credit for banks, over time you would see the shift.
@@Jonydoe I don't see why we should treat downturn as inevitable. Countries like Singapore and Taiwan have Land Value Tax [LVT] and don't experience any such collapse. They also have very high home ownership rates. People will continue to invest in land as long as it provides a safe 10-15% return. Such parasitic rent seeking will be a major deadweight on the economy, especially in a country like India with low home ownership and sky high rents. There is no other solution to this, that I know off except LVT. LVT will also help us reduce other harmful taxes such as GST, Income and Corporate tax which will boost economic activity. It is a win win scenario if applied.
@@jupe2001 the problem with LVT according to me: It will have to be devolved to the states which makes it highly probable that the rates and enforcement will be variable(same thing has been happening to property tax) would not have the desired impact. If they can do it well, it’s great but given the past experiences with changes in taxation system, never have been great. This can result into flight of investment from one state to another further deepening the disparity and creating extra stress on property and land markets of a favourable state (new problem) - Indian Government hardly abolishes Taxes (subsuming them under a single tax like GST is not abolishing), last tax I remember being abolished in true sense in my lifetime was Octroi . So don’t trust them
Even before you build houses, get the roads built so that people can commute to workplaces from far off places thereby reducing the concentration around key office areas and reducing rent
I'll disagree with many facts of Kushal boasting about cities and criticism of Rural India by DR. BABA, but as an Architect and student of plannner, this podcast helped, and also introduced me to this organization of my interest of studies of Urban conglomerates
Just one factor is enough to put the ball in Rural India’s court - AIR QUALITY You breathe the air 24 x 7, you don’t need city comfort if the air quality, AQI there is 400,500,800
That is because you city is planned badly and its unliviable, not because city is inherently bad. You have not seen a livable city yet, that is why you think Village is better.
@@gradstudent584 Comparing Indian cities to Western Cities is unfair. Still quality of life in a block headquarter in a district of India is par better than living in Villages.
Great talk ...but regarding singapore thing...how does it become good before internet.... We cannot compare singapore to india...the diversity and the area and society which operates differently and also the population....the circumstances are very different....and Singapore is not democracy where are india is....we can do perfect things at a limited scale like Singapore but not with india....given the historical background and events happened ...
Completely agree with Pritika at about the 1 hour mark where I’ve reached , that ownership is only because it’s associated with security and shelter. When in India you can’t be Switzerland. We are seeing atrocious policies that are harming the middle and upper middle income group just to feed the bottomless system of social welfare. We are not printing money like america is(yet), but this Arvind kejriwal type model is welcomed pan india. Even if I’m tied to the economy of the place good or bad, where I don’t have crime like California , wildfires like Australia or earthquakes like Tokyo I’m good. I can still sell at a loss and make money because the Govt won’t let me keep anything 100%. Indian Govt doesn’t understand “finders keepers” unless it’s a wife who can steal from the in laws at her hearts desire. The Govt is the wife we all want to divorce . Even if I stumble upon a chest of gems in a cave or win the lottery the Govt will take 40% of the profit not 40% of the 10 rupee lottery ticket that I bought from my income. Its like we work and they make the money and then complain about crony capitalism when in reality the private sector is not a thief. They won’t charge tax on the principle amount that I’ve taken out from the income for investment , they’ll tax the profit that the Govt is not losing money on. The profit too is made from companies that are paying tax to the Govt .If you let me keep my profits in your FD, you’ll make money too. Just declare no tax beyond this point if you put that amount in Govt banks and then use that interest to feed the bottomless pit. The lack of vision is Kind of like the FSI thing that was being discussed. It’s kind of like the original thought process behind feminism that wait! we are losing money to housewives who make up half of the population so push the 50% into work by gift wrapping it in the guise of feminism and equality . Post income tax we are paying 30% on crypto , luxury tax, convenience tax, a myriad other taxes including the latest 20% TCS, Tax on food delivery and restaurants are charging 20% extra than they would if you sat there and ate, so there’s no saving. the 20% paid to swiggy is actually your fuel cost . I don’t want to own a house for status or snob value I want to own a house because of bad policies and frankly the Govt’s bad taste that doesn’t match mine . My needs per them are subjective but their quota for lining their pockets is objective . So while I love this podcast so far and the topics are vitally important , I will not agree with the rental mindset because even those who are on rent don’t care about quality . Sab chalta hai. Mereko sab nahi chalta hai. Even if the fancy building I’m renting is on the beach , and it rains 300 days a year I don’t want flooding unless there’s a tsunami. Which builder can promise that when they can’t even promise thick walls, better wiring and constant water supply ? The 4/5G speeds are atrocious. There’s a created shortage everywhere. It’s like the wife who goes to court in torn clothes for better alimony prospects because pretending to be poor in this country is the way to live. Bed bugs and flies are such a romantic sight 🙄
no planning is the biggest hurdle in urban infra. town level governece should be abolish. we have good policies on state and center level but local level politicians are most corrupt and incompetent. never understood the importance of mayor or parshad.
Planned growth was possible in the US cities and suburbs because they killed off all indigenous native people who owned the land, and then they could impose their grids. Not the model you can follow in India.
What are you on about. New York City was not heavily before European arrival. Because those civilisations were based on food and crop availability but the new York was built on location
Yes , it is obsolete and outdated, but chandigarh has good grid planning but one thing, they lack is in public transport. From 30 years, they were opposing metro idea I'm chandigarh and now they have approved it this year.
Brilliant choice of topics Kushal! I think the neglect of urban planning is the biggest infrastructure issue that is hindering india’s growth and quality of life in general! But this issue never gets it’s due in our political discourse.
In india, when Real Estate Proces were very Low, Congress, Com3mies and all Cong allies, would give Layout Permissions without Widening existing Rds ,intersections.
For ex ,in Uppal , a National Highway from Hyderabad to Warangal dist , 2 to 4 Lane existed .
It narrows to 2 lanes only when Highwy after entering and snd crossing some 10 kms City, reaches Uppal X Rds Where traffic comes to halt .
Aslo Olanners were so DUMB, negligent that NEW City , expanding over old villages in one side, thry had NEVER built a Bypass from Uppal X Rd connecting to outside city limits .
They let cities expand with narrow lanes endlessly.
Now Modi govt has to build a 4 Lane Flyover 20 kms.
Just iimagine if they did WIDEN Rd 30 years go, when all buidlings were very Old, easy to DESTROY..
Chandra B Naidu was the one who gave Hyderabad so much beauty. He widened Rds everywhere all over Hyderabad.
Removed old Poeer lines and pushed them sideways , bhilt drainages on sides, laid foot paths, bhilt inner ring rd, outer ring rd, flyover in 1990s itself.
The Poor man nevr Got power again..
Sad but truth power reserves in the hand who portrayed not in the individuals who do social work
But no overdevelopment, look at lighting around us these days, it sucks
Kushal can u do a podcast on India's brain drain in detail. No one is trying to understand the issue or reasons on why indians are leaving india in record numbers
The best solution to solve India's urban woes is a Land Value Tax and removal of FSI limit. A whole lot of our housing issues will be solved.
Elaborate please!!
@@KejriwalBhakt due to low fsi, our city tends to more spread and you could not build long buildings
@@sagarpaul7934 nearby airports as well
@@KejriwalBhakt Land Value Tax, LVT for short is a tax on the value of land, for example, the sales price of a property = sales price of the building + sales price of land. LVT is a tax on the sales price of land and not the building. The effect of this is that the sales price of land decreases.
The sales price of land is essentially a result of speculation. Suppose, you buy a piece of land for 1 lakhs. The reason is not that the land is actually worth 1 lakh but because the land is a necessary commodity, future homeowners will have no choice but to pay that amount. This is speculation and this is the reason people buy up real estate even when they don't need it, rising the prices further up. This leads to a rapid increase in land prices which makes housing more expensive. The 2008 financial crisis or the Japanese economic bubble is a good example of this. Land speculation essentially caused an economic collapse.
China, Singapore, etc solves this problem by not allowing permanent land ownership but instead, they auction the land in leases. Since that is not possible here we can have a simple solution which is land value tax.
Another benefit is that, since people will now be paying LVT they'll use the land only if they need it, such as homeowners and not real estate investors. They'll use it very efficiently. So there will be lots of skyscrapers/taller buildings being built, which will increase the housing supply and will decrease housing costs and rents.
LVT also generates a large amount of revenue, this will help in decreasing other taxes so that common, middle-class people will have to pay less taxes in total. This will then boost the economy.
People who buy property and don't use it efficiently will pay and the rest of us will get to buy houses cheaper. Real estate will no longer be a good investment and people will need to invest in other stuff if they want to.
we can see how this will affect each group.
1. Homeowners - Buying a home will be a lot cheaper, with more variety to choose from. However, the home will no longer be an investment. They'll essentially have to pay an amount in rent [i.e. LVT], but since other taxes [like income and GST] will decrease the total amount they'll pay is almost the same or even less. If you live in an apartment complex with 10 flats, you'll only pay one-tenth of the LVT, since it'll get divided among the residents. So LVT will be really small for people living in apartment complexes.
2 . Renters - No huge change. However overall rents will decrease due to new construction and of course, more choices will be there.
3 . Real estate speculators, real estate will no longer remain a viable investment option, since yearly rent payment [LVT] and low cost of housing will not generate large profits.
@@jupe2001Thanks for the explainer
Biggest Misconception about Modern India is that it's a Rural Agrarian Economy.
Cause, 70-80% of India lives in one kind of Urban settlement or another.
Secondly, only 15% of India's population engages in serious Agricultural practices.
Are you serious! Only 15%?!
@@Vizorfam yes, it may be even less than that. Cause for majority of Indians agriculture has became a secondary source of Earning.
@@ravinakuwar1407 no, it's more than 40 percent
@@millennialmind9507 just search "Actual farming population in India by Harish Damodaran & Samridhi Agarwal".
Then you would get what am saying here.
@@millennialmind9507 According to that only there are only 40 million SERIOUS farming households in India.
If u multiply by factor of 5. Then it would come at 200 million people directly dependent on farming.
While population of India is at 1400 million.
By applying basic maths total farming population comes at 14-15% of India's population.
As Reuben Abraham sir said at 51:00 minute, there's a concept of Wohngemeinschaft (shared apartment) in Germany and its cities-extremely convinient for students and bachelors. Please do check it out. @Kushal Mehra sir.
As the guest speakers said, in a country where there is no/little social security and poor infra, the need to own assets like a house, car etc comes into being. Once the basics are provided, our habits and needs will also change. Continue with such intereting talks!
This podcast is amazing. Bring these people again Kushal.
Are takle tu idhar
Dear Sir,
Start Cooking channel soon.
Yours sincerely.
@@soumen_pradhan Nooo his taste is horrible
@@brutalcombatant5355 Vo views se pata chal jayega. If Taklu is only bark and no bite.
The gentlemen in this podcast, other than kushal ofcourse, while he does seem very knowledgeable, i would strongly disgree with his view point that people should not give priority to real estate, while yes stocks and other investement gives you much better return, but property is a long term thing, well i have Many reasons, but 1st is property is a generational thing, its not a get rich quick scheme, a very big difference between a Rich person and a wealthy person is, rich is till he works, wealthy person is generationally wealthy and has monetizable assets, he mentions, How majority of people in developed cities of the world live on rent, well guess what, its not because they dont want to own land, its because they cant, because a modest house would cost 15-20 years WOrth yoUr median salary there. He also speaks about american dream, about going to anywhere, well that wasnt it, yes it was to move to new frontiers, but the dream that americans sold, was to have a good house in suburbs with white fence, have a wife at home and 2-3 children, while doing a Modest Job, earning a modest living. Now other than that, right now Living On rent is alright, you rent a 3bhk in okayish area in delhi like laxmi nagar, it would be like 20% of your salary, if you earn good money. But the countries which he mentioned in the podcast, well guess what rent there is 50-60% of their paycheck everymonth, you if you wanna live On rent, in a world where in big indian cities rent is half your salary, good luck for you cause i will be the one renting them to atleast some, some areas in mumbai are already their, delhi and gurgaon are slowing going there too
Please have a session with acharya prashant,it's a request.
Finally. As someone who binges Bimal Patel/CEPT videos, this was long overdue.
1:55:39 “India: Urban Hellscape”
Please send me ₹2 on UPI for upping your idea.
There are many downsides to rent that you missed, first of all rent is quite expensive in most cities , keeps increasing every year, law inforcement is quite bad in India so security issues, for eg. in delhi any decent 2 bhk in a okay kina locacity costs 14 k min + maintenance charges etc. And it increases 10% every year like this is the rent for a place like mehrauli which isn't some great locality, plus there are issues with renting like u can't exactly decorate it or have the place done according to you so specially for families buying a house bcms a better choice , bcz instead of paying 15 -16k rent every month u can pay emi for house loan and atleast at the end of it you'll atleast own a house and security it provides in many ways. also I don't agree with the fact that owning a house restricts your mobility you can put your house on rent and still live wherever its most suitable for you, for eg. I know many people who bought houses in faridabad or NCR bcz you can buy better housing there at comparatively low prices put them on rent but are living in delhi atleast for time being or visa versa cuz houses in Delhi bring in better rent so I have seen people get houses in delhi in localites that are conjusted and 2 bhk put that on rent but live in good socities in 3 bhk in places like faridabad where rent is much lower. Not everybody is super educated about other investments so investing in a house for yourself is a safe bet instead of paying rent with the same amount of money.
Overall in a scenario where rent and emi installments for a house loan are same it doesn't makes sense to live on rent if you have enough money for initial payment n are eligible for loan bcz in case of buying a house u will atleast own the house at end, you are atleast building an asset for your self what's the advantage of paying rent that's increasing every year and going towards nothing.
Speaking of America , there are tons of videos that talk about the space wasted for parking . There’s a very funny story of one of my father’s ex friend’s son’s first visit abroad . He’d never been abroad and because of rote memorisation he got into brown university and his first reaction to all the open space was if this was india there would be chai wala encroachment. He was amazed at the lack of walls and compounds. For security unis have number locks, cameras, round the clock armed police for all dorm buildings .
The main problem is that Because we have lack of greenery we automatically criticise the height of a structure that everything is becoming so congested because of the height. We say oh Look at the white picket fence ground floor only bungalows that are open on all sides with so much greenery. Like a white coloured car gives the impression of scale that a red coloured car of that make won’t , greenery automatically gives you the illusion of space and scale when in reality they’re smaller than most urban flats stacked on top of one another but they lack the Singaporean model of planning.
I live in semi urban locality but when i visit my village it's different ans lovely experience. But india need big cities
Individualism finds Comfort in the Urban.
It might find it anywhere
Excellent podcast. Hope we get this in coastal Karnataka. We can get a strong Karnataka with less corruption. Yeddyurappa's son has been involved with buying up land to the tune of 3 lac crore rupees at annas on the rupees.(1/16th the rates). Officially its only to the tur of 1600 crores but unofficially it is much worse. Removing government regulation which is wasteful and only keeping those necessary like Reuben and Pritika state could kill the BJP stalwart's son's corrupt and decadent lifestyle while saving Karnataka. Karnataka has paid a huge price due to these idiots even though our state has more potential when compared to Gujarat. I believe a government under Congress could get this done. BJP will never implement this in Karnataka due to the magic bullet/ Village solution is the result of the careless policies of consistently peddling the Third Way by Dattopant Thengdi as a solution proposed by RSS.
True point about Chandigarh 😅😅😅
So with due respect to the guests and Kushal, I disagree a little bit on home ownership:
- In Indian economy(especially outside the 4 big metros), house ownership has been a very lucrative and safe investment. In Ahmedabad (my hometown) many house owners have made over 15% (year on year on a 20 year time period from 1995).
- Home ownership gives people an almost sure shot access to loans, by pledging the house as collateral, perfect example being student loans (HDFC was a front runner via Credilla), business loans, LAP to increase liquidity for senior citizens etc
- It gives a generational wealth to next generation when the home ownership is passed on. They might migrate and live any place but there will be an appreciating asset for them.
- Most other emotional reasons etc have already been covered by you guys and agree with them.
Anyways, so the home ownership has to be looked upon in larger economic context, had there been easier access to finance by other means, deeper bond and equity markets, lot of stress on house ownership for investment would decrease. You already covered better social security nets can decrease homeownership.
Also to remember is property market in India has seen less downside, fluctuations are there , maybe rate of return would be lower at some places compared to others but unlike West, Indian property market has not seen great down turns and it will remain a good option since we are in the zone where infrastructure creation, upgradation and scaling is going to be in focus for next decade or so.
Indian housing market will collaspe. Just like every other booming economy and it won't happen just once but multiple times and will become a cycle. Will it affect us as badly as in case of say Japan's bubble? Only time will tell. The only solution is a Land Value Tax. It will also solve our other problem of not having enough [good uality] homes that are available in market as well as high rents. People after a Land Value Tax is brought, will look into other sources of investments and this will help in in aliveating lots of or economic woes.
@@jupe2001 Ofcourse housing market will see a downturn ,similar to any other market but I don’t see a major collapse atleast in the next decade or so (longer if we include Land market)
- I do agree people should invest in diversified manner and not spend major chunk in one sector
- A better way in my opinion would be deepening the bond market, giving good bond options( including infrastructure, municipal(one of the rounds of Pune MC was a good example etc), encouraging REITS ( currently they exist but not that lucrative or trusted), market them properly and educate public about them as a guaranteed return , and safety option, good returns, much more liquid; make it acceptable for them to pledged as collateral for access to credit for banks, over time you would see the shift.
@@Jonydoe I don't see why we should treat downturn as inevitable. Countries like Singapore and Taiwan have Land Value Tax [LVT] and don't experience any such collapse. They also have very high home ownership rates.
People will continue to invest in land as long as it provides a safe 10-15% return. Such parasitic rent seeking will be a major deadweight on the economy, especially in a country like India with low home ownership and sky high rents. There is no other solution to this, that I know off except LVT.
LVT will also help us reduce other harmful taxes such as GST, Income and Corporate tax which will boost economic activity. It is a win win scenario if applied.
@@jupe2001 the problem with LVT according to me:
It will have to be devolved to the states which makes it highly probable that the rates and enforcement will be variable(same thing has been happening to property tax) would not have the desired impact. If they can do it well, it’s great but given the past experiences with changes in taxation system, never have been great. This can result into flight of investment from one state to another further deepening the disparity and creating extra stress on property and land markets of a favourable state (new problem)
- Indian Government hardly abolishes Taxes (subsuming them under a single tax like GST is not abolishing), last tax I remember being abolished in true sense in my lifetime was Octroi . So don’t trust them
Even before you build houses, get the roads built so that people can commute to workplaces from far off places thereby reducing the concentration around key office areas and reducing rent
owning a house is whole Asian thing not only limited u India
It's a human thing. The 2008 crisis was created by people trying to buy homes in the US.
I'll disagree with many facts of Kushal boasting about cities and criticism of Rural India by DR. BABA, but as an Architect and student of plannner, this podcast helped, and also introduced me to this organization of my interest of studies of Urban conglomerates
Also see Bimal patel and author of Order without design
Just one factor is enough to put the ball in Rural India’s court - AIR QUALITY
You breathe the air 24 x 7, you don’t need city comfort if the air quality, AQI there is 400,500,800
What about excess to Health Care, Education, Jobs, Employment, Services, Civil Amenities etc.
Asking as a person born & raised in village.
Your logic is zero👎👎👎
That is because you city is planned badly and its unliviable, not because city is inherently bad.
You have not seen a livable city yet, that is why you think Village is better.
Have you been to cities in the west? The air there is very much breathable despite traffic etc.
@@gradstudent584 Comparing Indian cities to Western Cities is unfair.
Still quality of life in a block headquarter in a district of India is par better than living in Villages.
One example of this is JDA started to repaint road lanes when they were left with no ideas as to what to do with the money
Amazing podcast on critical and neglected aspects
My favourite topic
Great talk ...but regarding singapore thing...how does it become good before internet....
We cannot compare singapore to india...the diversity and the area and society which operates differently and also the population....the circumstances are very different....and Singapore is not democracy where are india is....we can do perfect things at a limited scale like Singapore but not with india....given the historical background and events happened ...
Completely agree with Pritika at about the 1 hour mark where I’ve reached , that ownership is only because it’s associated with security and shelter. When in India you can’t be Switzerland.
We are seeing atrocious policies that are harming the middle and upper middle income group just to feed the bottomless system of social welfare. We are not printing money like america is(yet), but this Arvind kejriwal type model is welcomed pan india.
Even if I’m tied to the economy of the place good or bad, where I don’t have crime like California , wildfires like Australia or earthquakes like Tokyo I’m good. I can still sell at a loss and make money because the Govt won’t let me keep anything 100%. Indian Govt doesn’t understand “finders keepers” unless it’s a wife who can steal from the in laws at her hearts desire. The Govt is the wife we all want to divorce . Even if I stumble upon a chest of gems in a cave or win the lottery the Govt will take 40% of the profit not 40% of the 10 rupee lottery ticket that I bought from my income. Its like we work and they make the money and then complain about crony capitalism when in reality the private sector is not a thief.
They won’t charge tax on the principle amount that I’ve taken out from the income for investment , they’ll tax the profit that the Govt is not losing money on. The profit too is made from companies that are paying tax to the Govt .If you let me keep my profits in your FD, you’ll make money too. Just declare no tax beyond this point if you put that amount in Govt banks and then use that interest to feed the bottomless pit. The lack of vision is Kind of like the FSI thing that was being discussed.
It’s kind of like the original thought process behind feminism that wait! we are losing money to housewives who make up half of the population so push the 50% into work by gift wrapping it in the guise of feminism and equality .
Post income tax we are paying 30% on crypto , luxury tax, convenience tax, a myriad other taxes including the latest 20% TCS, Tax on food delivery and restaurants are charging 20% extra than they would if you sat there and ate, so there’s no saving. the 20% paid to swiggy is actually your fuel cost .
I don’t want to own a house for status or snob value I want to own a house because of bad policies and frankly the Govt’s bad taste that doesn’t match mine . My needs per them are subjective but their quota for lining their pockets is objective . So while I love this podcast so far and the topics are vitally important , I will not agree with the rental mindset because even those who are on rent don’t care about quality . Sab chalta hai. Mereko sab nahi chalta hai. Even if the fancy building I’m renting is on the beach , and it rains 300 days a year I don’t want flooding unless there’s a tsunami. Which builder can promise that when they can’t even promise thick walls, better wiring and constant water supply ? The 4/5G speeds are atrocious. There’s a created shortage everywhere. It’s like the wife who goes to court in torn clothes for better alimony prospects because pretending to be poor in this country is the way to live. Bed bugs and flies are such a romantic sight 🙄
I thinking they say "Ashley Bharat Gaon Mein rahata Hai" because as people move to village to cities become less and less rooted to the Indian culture
no planning is the biggest hurdle in urban infra. town level governece should be abolish. we have good policies on state and center level but local level politicians are most corrupt and incompetent. never understood the importance of mayor or parshad.
Parking of Vehicles in all Cities is probably the next Crisis we are looking at.
Good topic
In love with Pritika, man!
Bhaiya larki ka chakkar maut se takkar
I dont know why this podcast channel doesnt cross million views and subscription
i'M GLAD YOU DECIDED TO DO A POD.CAST ON THIS ISSUE
Finally! A relevant topic on this channel.
Thank you for having a conversation on this topic.
So should I move to city or not ?
Basically many good practices are known but our corrupt to the core politicians and babus have no time to do it.
Builder nexus
Please bring acharya Prashant
This podcast is s tier.
Ottawa Represent!!!
Much needed podcast.
the bigeest problem is there are no subarbs in indian cities or extended subarb connectivity
😂😂
American style suburbs or kind of suburb are sucks
Delhi has and quite a lot
Nice
Planned growth was possible in the US cities and suburbs because they killed off all indigenous native people who owned the land, and then they could impose their grids. Not the model you can follow in India.
What are you on about. New York City was not heavily before European arrival. Because those civilisations were based on food and crop availability but the new York was built on location
First time I heard Chandigarh is badly plannned. Thank you 💞.
Yes , it is obsolete and outdated, but chandigarh has good grid planning but one thing, they lack is in public transport. From 30 years, they were opposing metro idea I'm chandigarh and now they have approved it this year.