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Real Estate Bubble @ AP Capital Bursts

15th March, 2015 2:00pm     Andhra Pradesh      Comments  

AP,AP Capital,Thullur,Nuziveedu,Real Estate,Real Estate Bubble,AP Capital Bursts,AP Capital region

The sudden burst of real estate bubble at AP Capital region dashed the hopes of several families leaving them in despair, financial crunch. The suicide of a noted realtor Vijay Kumar says it all. Unable to cope with the pressure from financiers, Vijay Kumar from Ramavarappadu of Vijayawada committed suicide who apparently took Rs 40 Lakh from financiers and invested in it in Nuziveedu expecting that it'd be the new capital of AP. Although Vijay was paying over Rs 1.2 Lakh interests every month to money lenders, he couldn't cope with their pressure and gave up his life. Vijay Kumar's case is not just one as it's mostly same with many others who brought lands, flats in Nuziveedu. The lands which costed at Rs 1 Crore to Rs 1.5 Crore per acre soon after bifurcation have now dipped to Rs 30 Lakh per acre pushing the investors into neck-deep trouble.

Ever since Thullur has been announced as capital, the prices came down drastically. Hoping that Nuziveedu would be made as capital as most of the government lands are available in and around Nuziveedu, many have bet big in this locale. Cashing in on the bubble, many have laid layouts and sold them to Aam Admi at whopping prices.

Even the situation in Thullur is more or less same and no different. As the real estate bubble burst within no time, the lands costed at Rs 1.5 Crore then have now dipped to Rs 80 Lakh per acre. Government's statement on Land Pooling System has led to further decrease in prices. Also the fact that setting up of new capital would at least take another 10 years, and Union Government not so helpful to State have all crashed the real estate boom in the region. Unaware of the future, Aam Admi is in doldrums.

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