When it comes to deploying their hard earned money, Indians rely heavily on physical assets like real estate and gold rather than financial assets. In fact, the average Indian household holds 84% of its wealth in real estate and other physical goods, 11% in gold and the rest 5% in financial assets like deposits and savings accounts, publicly traded shares, mutual funds, life insurance and retirement accounts, as per All India Debt and Investment Survey.
There is a huge variation in the investing patterns across the country. Bihar, Jharkhand and Uttar Pradesh top the list of states putting maximum money in real estate at 90%, 85.6%, and 85.4% respectively. While Andaman and Nicobar, Daman and Diu stands at the bottom with 42.5% and 48 % money parked in it respectively. Around 55% of Delhi’s wealth goes into real estate.