Mumbai rose to the third position among the list of top 44 cities globally in terms of appreciation of housing prices during January-March 2024 period, according to a Knight Frank report. It was ranked sixth in same period last year.
New Delhi rose from seventeenth position to fifth in with a growth of 10.5% y-oy, according to the Prime Global Cities Index Q1 2024 of Knight Frank.
Bengaluru, however, observed a decline in ranking from sixteenth to seventeenth, even though it recorded a 4.8% growth in residential prices.
“Mumbai’s significant rise on the international index was largely due to the rise in demand in the city. While the demand has been strong for all segments, we have seen a rise in the sale of higher value products,” Knight Frank said.
Manila claimed the top spot with a 26.2% annual rise in prices which was the highest in the ranking this quarter. Tokyo jumped 17 places to be ranked second with a 12.5% y-o-y growth.
The Prime Global Cities Index is a valuation-based indicator tracking the movement of prime residential prices across 44 cities worldwide. The index tracks nominal prices in local currency.
Shishir Baijal, chairman and managing director at Knight Frank India said, “Like its peers in these regions, the improved rankings of Mumbai and New Delhi on the Prime Global Cities Index was underscored by the resilience in sales growth volume. We expect the momentum of sales to remain stable over the next few quarters as the economic conditions are likely to remain broadly unchanged.”
Liam Bailey, Knight Frank’s Global Head of Research said: “The rebound in global housing markets is continuing, as evidenced by our Prime Global Cities Index reaching 4.1% annual growth. Rather than heralding a return to boom conditions, the index indicates that upwards price pressures are stemming from relatively healthy demand, set against continued low supply volumes. The pivot in rates – when it comes – will encourage more vendors into the market, leading to a welcome return to liquidity in key global markets.”
