With real estate prices in the city escalating like crazy, lakhs is no longer the new lingo but it is all about crores these days. Buyers feel they are being priced out of the city and pushed northwards towards the outer edge

Last year was special for the Vyas family with them finally being able to buy a one-bedroom flat in Malad. The couple were relieved to be the proud owners of what they now call home, with its tastefully done up living room and bedroom. They endured a four-year ordeal to find the right place.
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More importantly though, they may be the last of the prospective buyers, still able to buy properties in Mumbai in lakhs.


Rajiv and Reena Dogra with their baby daughter

"I bought this apartment just eight months ago. The apartment is 700 sq.ft but I had to shell out almost my entire savings to buy this place," says Rachit Vyas.u00a0

They paid Rs 70 lakh for the 700 sq.ft one-bedroom flat. That too will become a pipe dream for many middle-class people. Realtors say soaring property prices mean the tiniest of places may cost over one crore rupees in a few years' time.

Rajesh Buhecha, a Borivali resident who bought a one-bedroom flat recently in Borivali, warned, "Prices will soar beyond, our reach. After a few years, it will be impossible to find anything in less than a crore in Mumbai." Already, many who want to buy a dream home in Mumbai say they have been priced out of the city.
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A senior media professional, who worked half his life abroad and earned in dollars says he still doesn't have enough to buy a two-bedroom flat of his choice in places such as Bandra (W), Juhu or South Mumbai.

He cannot move beyond Juhu. So, he has no choice but to keep staying in rented apartments. Even couples with two salaries are finding it hard to take a loan and buy property, which is within their budget.

Consequently, many end up buying in far-flung suburbs, such as Mira Road and Bhayandar or maybe beyond that. Or there are those who scale down their needs and settle for smaller places.

Take the example of the Buhecha family of seven. They needed a two-bedroom flat in Borivali but within their budget there was no property available in the area.

They had to either move further north to Mira Road or Bhayandar or buy a one-bed apartment rather than a 2BHK flat. Rajesh Buhecha (35) says he nearly shifted to Mira Road.

"I used to stay in a rented place at Borivali. Since my office is also in Borivali, I wanted to stay in this area. But prices have gone up so high that I had once thought of shifting towards Mira Road, Bhayandar," he says.

"We are a family of seven including myself, my wife, three kids and my parents. So I wanted a 2BHK in Borivali.
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But right now I have dropped the idea of staying in a 2BHK. With 45 lakhs, I had to settle for a 1BHK in Borivali."u00a0

Shridhar Jagannathan and Shweta Iyer, a young couple getting married next year, are looking to buy a place of their own.

The Mulund residents are bent on settling in Mulund only, close to both their parents. "It's been tough," says Shridhar who works with Red FM. "We want to move into our new home right after marriage."

Shridhar and Shweta have been looking for a place for more than two months. "The ones we are getting are for 45-47 lakh, above 400 sq.ft. Charging Rs 10,000/sq ft in a place like Mulund is insane," says he.

They are not looking for a place beyond Mulund. Travel is an issue. He travels to Lower Parel everyday while Shweta goes to Prabhadevi.

"Anywhere beyond Mulund is a bit of a stretch. The travel will be just too much. Anything above 500 sq.ft is in between 50-60 lakh.
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It's the brokers who are pushing the prices up. Bandra rates are Rs15,000/sq.ft, that's okay, but Mulund rates around Rs10,000/sq.ft?" Shridhar and Shweta are now looking for a joint loan to buy their dream home.