The pandemic wasn’t just about health—it changed the whole world in many ways, including how people live and work. One big change was that many young people started moving from countries like India to places like Europe and the United States. This move, called migration, was a major shift that affected things like housing and jobs but is not talked about much.
This isn’t just about people moving to new places—it’s also about money moving with them, changing life in both their old and new countries. This move affects factors like jobs, housing, and how people live. But why are so many people moving, and what does it mean for homes and buildings around the world?
A Shift Driven by Financial Reforms and Policies
There are many reasons why people are moving, but the biggest one is that countries like Germany have money rules and laws that make life easier there than in places like India.
In Germany, people can get a special loan to buy a house that lasts 200 years! They only have to pay a small amount, just 2%, for their whole life. If they pass away, their family can choose to keep paying or give the house back to the bank without owing any extra money.
In countries like Germany, buying a home feels safer and cheaper because of easy loan options. But in India, home loans are expensive, have to be paid back faster, and aren’t very flexible. This big difference makes younger people want to move to other countries to build a better and more stable life.
The Migration Effect on Wealth Redistribution
When people move to a new country, they don’t just bring themselves—they also bring their money. Skilled workers and business owners often bring a lot of savings with them. They use this money to buy homes, start businesses, and help the economy in their new country, which means money moves from their old country to their new one.
When skilled and wealthy people leave India, it’s a big problem. They take their money and smart ideas with them, which can hurt India’s growth. It also means fewer people are buying expensive homes or helping important industries grow.
On the other hand, countries like Germany, Canada, and the United States gain a lot. The money people bring helps their businesses, makes their housing markets stronger, and gives them more talented workers.
How Migration Helps the Real Estate Market
After the pandemic, more people moving to new countries have caused some big changes in the global real estate market.
1. Increased Demand in Western Markets
More young professionals moving to Western countries means more people want to live in cities. They often need affordable homes to rent first, before they can buy their own.
Countries with good money rules are seeing more people from other countries buying homes. More and more foreign buyers are joining the real estate market.
2. Declining Demand in Home Countries
In countries like India, where many people are moving away, expensive homes might not sell as much. Fewer people with extra money to spend means there are too many homes for sale, which makes prices drop.
3. Cross-Border Real Estate Investments
Some people who move to other countries still buy homes in their old country because they feel attached to it or want to protect their money from changing prices. But this is usually only true for very wealthy people, and it doesn't stop the overall drop in demand for homes.
Implications for the Future
The moving of people and money from one country to another could have big effects on the real estate market in the future.
1. Diversification of Real Estate Portfolios
As money moves between countries, investors are looking to buy property in different places around the world. This could make real estate markets more connected, with buyers and builders working in many countries.
2. Policy Reforms in Developing Nations
The money leaving countries like India might make them change their money rules. By offering easier home loans, lowering interest rates, and making laws better for investors, they could keep more talented people and money in the country.
3. Urban Redevelopment in Host Nations
As more people move to new countries and need homes, cities might rebuild areas to create more affordable places to live. The government and builders could work together to help both newcomers and local people find homes.
After the pandemic, the way people live and buy homes is changing. People are moving to new countries, and this is affecting how cities and economies work.
In the future, countries might work more closely together when it comes to buying and selling homes. Countries like India could change their rules to make it easier for people to stay and invest. On the other hand, countries that are getting more people to move there will need to build more affordable homes and fix up cities to keep up with the growing demand.
The future of buying and selling homes will depend on how countries adjust to these changes. The countries that do a good job of making smart rules and building the right homes will grow stronger, while others might face challenges.
How countries respond now will decide what the real estate world looks like in the years to come.
What do you think about these changes? Are there other things that are changing the real estate market after the pandemic? This is a topic that affects everyone, so let's talk about it!