HOUSING PRICES RISE IN 43 CITIES IN Q3 FY 2023-24: NHB

All the 8 major metros (viz. Ahmedabad, Bengaluru, Chennai, Delhi, Hyderabad, Kolkata, Mumbai & Pune) witnessed appreciation in property prices.

43 cities registered growth in indices during Q3 FY 2023-24.

50 City composite HPI based on Valuation prices increased by 4.7% on Y-O-Y basis.

Quoted prices for under-construction and ready to move unsold properties registers improvement on a Y-O-Y basis.

India’s eight key primary residential markets witnessed appreciating property prices during the period Oct-dec 2023. Ahmedabad (4.7%), Bengaluru (7.1%), Chennai (3.8%), Delhi (2.8%), Hyderabad (6.3%), Kolkata (7.2%), Mumbai (3.0%) & Pune (4.8%) recorded increase in the index on an annual basis as per the Housing Price Index published by National Housing Bank.

The 50 city 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 4.7% during the 3rd quarter of the fiscal 2024 as compared with 7.1% a year ago.

The annual change in HPI @ Assessment Price varied widely across the cities – ranging from an increase of 19.9% (Chandigarh) to a decline of 13.3% (Navi Mumbai).

Out of the 50 cities covered, 43 registered an increase in property prices whereas 7 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% in Oct-dec 2023, similar to the previous quarter figures. The index is showing an increasing trend on Q-O-Q basis since Sep-21.

The index recorded increase in 46 cities out of 50 cities with Chandigarh recording the highest sequential increase of 6.7%, followed by Noida (5.1%), while Bhopal, Indore, Kochi and Raipur recorded sequential decrease in the HPI @ Assessment Price during the quarter (Kochi recording the maximum decline of 2.1% followed by Raipur at 1.5%) 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 (Y-O-Y) of 10.3% in QE Dec 2023 as against 10.8% a year ago. The annual variation in HPI @ Market Price ranged from an increase of 26.0% (Bengaluru) to a contraction of 1.8% (Kochi).

On a sequential (Q-O-Q) basis, the 50 city Index witnessed an increase of 2.7% during the quarter, as against 2.3% in previous quarter.