7 ms·

Even the arbitrage is going to start failing. The housing is insanely expensive in India especially relative to the salaries. At some point most of the people w

Even the arbitrage is going to start failing. The housing is insanely expensive in India especially relative to the salaries. At some point most of the people who can leave will leave, because its hard to live there with the salaries they are are getting. You can make more in other countries and the housing difference would not even be that much different.

jgalt212 9y ago
> its hard to live there with the salaries they are are getting hmm, sounds just like SF or NYC.
- screye 9y ago
  I'd say worse. IBM employees in India get paid around 500,000 rupees in India. A non-cramped 2 bedroom apartment in a decent area in the big cities (Mumbai, Bangalore, Delhi ) will set you back 10,000,000 rupees easily. That is 20 times their salary. I'd say that's a higher multiplier per unit salary, than for the US. Also note that living just outside the city (as people in the US do) isn't always an option, unless you are up for a 2+2 hour commute daily.
  - hkmurakami 9y ago
    Anecdata is a ~10x multiplier in SV for the kind of housing you describe.
  - nikanj 9y ago
    The numbers look similar in Vancouver and Toronto. It seems to be an emergent trend in the global housing markets.
    - wbl 9y ago
      Except Tokyo, Vienna, Montreal, Germany. Almost like we could apply their policies in SV.
      - rifung 9y ago
        Apologies for my ignorance but I was under the impression that residents of Tokyo live in extremely tiny apartments due to cost. Is that wrong?
  - iraklism 9y ago
    London has a 30-40x. 50k salary 1.5-2mil GBP for a well size 2 bed in a good area.
    - hardlianotion 9y ago
      That is an exaggeration, or your standards are much much higher than mine. I live in a good area that attracts bankers and minor celebrities. Flats of the type you describe are 500-600K. Still expensive...
      - scholia 9y ago
        Depends if you mean in the City of London, in Greater London, "on the tube" or "inside the M25" ;-) Apparently you can get a 2-bedroom flat in Bexley for £150,000.... The 10 cheapest places to buy in London: where to find the best-value homes in the capital, from Barking and Dagenham to Hounslow http://www.homesandproperty.co.uk/property-news/buying/londons-10-cheapest-boroughs-where-to-find-the-bestvalue-homes-in-the-capital-from-barking-and-a109836.html http://www.homesandproperty.co.uk/property-news/buying/londo...
  - likelynew 9y ago
    The 500,000 you mentioned doesn't seem correct to me for IBM. It is the lowest in the IT sector targeted to freshers from substandard colleges. In most first and second tier college, the average for IT is 15,00,000 to 25,00,000 at the time of joining.
    - GordonS 9y ago
      Those numbers are far too high - it's extremely rare to find anyone who will pay those wages, even in tier 1 cities for experienced candidates. By way of comparison, plenty of people in the UK entering their first IT job would make less than the equivalent of 25,00,000!
      - likelynew 9y ago
        I am studying in college that has is not known by most people in India, and the official average here is around 18 LPA. I have the stats from the placement unit of our college. For IITB and BITS Pilani, I can confirm from friends it's around 27 LPA. This is one public stat I can find: http://www.selaqui.org/iit-jee/placement.php http://www.selaqui.org/iit-jee/placement.php. Average is 24.67 LPA for CS, and it's from 2011-12. I don't know why you reacted with so much disbelief, when every one and every newspaper tells that average for IT placement is very good.
        thisisit 9y ago
        That is because you are looking at a cherry picked data to make your point. From the link: The department-wise average and highest salaries are shown below. The overall average and highest salaries stand at 8.98 LPA and 68.5 LPA respectively. So the average salary is 8.98 lakh. Unlike what you might like to believe there are many non-IT people working in IT, specially in places like IBM. So their salary will be even lower than 8.98 lakhs.
        likelynew 9y ago
        Of course.. It's not cherry picking. I said IT sector is doing pretty well in India. I never claimed anything other than that. Most majors have hard time finding any job in their sector.

jgalt212 9y ago

> its hard to live there with the salaries they are are getting hmm, sounds just like SF or NYC.

screye 9y ago
I'd say worse. IBM employees in India get paid around 500,000 rupees in India. A non-cramped 2 bedroom apartment in a decent area in the big cities (Mumbai, Bangalore, Delhi ) will set you back 10,000,000 rupees easily. That is 20 times their salary. I'd say that's a higher multiplier per unit salary, than for the US. Also note that living just outside the city (as people in the US do) isn't always an option, unless you are up for a 2+2 hour commute daily.
- hkmurakami 9y ago
  Anecdata is a ~10x multiplier in SV for the kind of housing you describe.
- nikanj 9y ago
  The numbers look similar in Vancouver and Toronto. It seems to be an emergent trend in the global housing markets.
  - wbl 9y ago
    Except Tokyo, Vienna, Montreal, Germany. Almost like we could apply their policies in SV.
    - rifung 9y ago
      Apologies for my ignorance but I was under the impression that residents of Tokyo live in extremely tiny apartments due to cost. Is that wrong?
- iraklism 9y ago
  London has a 30-40x. 50k salary 1.5-2mil GBP for a well size 2 bed in a good area.
  - hardlianotion 9y ago
    That is an exaggeration, or your standards are much much higher than mine. I live in a good area that attracts bankers and minor celebrities. Flats of the type you describe are 500-600K. Still expensive...
    - scholia 9y ago
      Depends if you mean in the City of London, in Greater London, "on the tube" or "inside the M25" ;-) Apparently you can get a 2-bedroom flat in Bexley for £150,000.... The 10 cheapest places to buy in London: where to find the best-value homes in the capital, from Barking and Dagenham to Hounslow http://www.homesandproperty.co.uk/property-news/buying/londons-10-cheapest-boroughs-where-to-find-the-bestvalue-homes-in-the-capital-from-barking-and-a109836.html http://www.homesandproperty.co.uk/property-news/buying/londo...
- likelynew 9y ago
  The 500,000 you mentioned doesn't seem correct to me for IBM. It is the lowest in the IT sector targeted to freshers from substandard colleges. In most first and second tier college, the average for IT is 15,00,000 to 25,00,000 at the time of joining.
  - GordonS 9y ago
    Those numbers are far too high - it's extremely rare to find anyone who will pay those wages, even in tier 1 cities for experienced candidates. By way of comparison, plenty of people in the UK entering their first IT job would make less than the equivalent of 25,00,000!
    - likelynew 9y ago
      I am studying in college that has is not known by most people in India, and the official average here is around 18 LPA. I have the stats from the placement unit of our college. For IITB and BITS Pilani, I can confirm from friends it's around 27 LPA. This is one public stat I can find: http://www.selaqui.org/iit-jee/placement.php http://www.selaqui.org/iit-jee/placement.php. Average is 24.67 LPA for CS, and it's from 2011-12. I don't know why you reacted with so much disbelief, when every one and every newspaper tells that average for IT placement is very good.
      - thisisit 9y ago
        That is because you are looking at a cherry picked data to make your point. From the link: The department-wise average and highest salaries are shown below. The overall average and highest salaries stand at 8.98 LPA and 68.5 LPA respectively. So the average salary is 8.98 lakh. Unlike what you might like to believe there are many non-IT people working in IT, specially in places like IBM. So their salary will be even lower than 8.98 lakhs.
        likelynew 9y ago
        Of course.. It's not cherry picking. I said IT sector is doing pretty well in India. I never claimed anything other than that. Most majors have hard time finding any job in their sector.