India’s eight key primary residential markets witnessed appreciating property prices during the July-September 2023 period on a year-on-year basis, the latest NHB RESIDEX showed.
All the eight major metros (Ahmedabad, Bengaluru, Chennai, Delhi, Hyderabad, Kolkata, Mumbai and Pune) recorded increase in residential prices.
For the quarter under review, Kolkata (9.1 per cent) saw the largest increase while Delhi and Chennai recorded the least increase at 0.8 per cent. The other major cities that witnessed appreciating property prices are Ahmedabad (6.1 per cent), Bengaluru (8.2 per cent), Hyderabad (6.8 per cent), Mumbai (3.6 per cent) and Pune (6.1 per cent).
The 50-city Housing Price Index (HPI) based on valuation prices of properties collected from banks and housing finance companies (HPI @ Assessment Prices) recorded an annual increase (y-o-y) of 4.9 per cent during the second quarter of the fiscal 2024 compared with 7.4 per cent a year ago.
The annual change in HPI @ Assessment Price varied widely across the cities – ranging from an increase of 18.7 per cent in Greater Noida to a decline of 14.3 per cent in Navi Mumbai.
Out of the 50 cities covered, 41 registered an increase in property prices whereas nine cities registered a decline in the property prices. On a sequential (q-o-q) basis, the 50-city index registered an expansion of 1.3 per cent in July-September against 0.7 per cent in the previous quarter. The index is showing an increasing trend on q-o-q basis since September 21.
The index recorded increase in 42 cities out of 50 cities with Greater Noida recording the highest sequential increase of 4.9 per cent, followed by Panvel (4.6 per cent).
Bhopal, Bidhan Nagar, Coimbatore, Kanpur, Kochi, Nagpur, NAVI Mumbai and Raipur recorded sequential decrease in the HPI @ Assessment Price during the quarter (Raipur recording the maximum decline of 3.9 per cent followed by Coimbatore at 2.7 per cent).
On the supply side, the 50-city HPI based on the quoted prices for under construction and ready to move unsold properties (HPI @ Market Price for under construction properties), also recorded an annual increase of 10.7 per cent in quarter ending September 2023 against 8.5 per cent a year ago.
The annual variation in HPI @ Market Price ranged from an increase of 29.1 per cent (Gurugram) to a contraction of 3.4 per cent (Jaipur). On a sequential (q-o-q) basis, the 50-city Index witnessed an increase of 2.3 per cent during the quarter, at par with 2.3 per cent in previous quarter.
