Are you planning a house? Well, how about checking the house price trend first? As India’s real-estate market witnessed a muted growth in 2017, the average rise in house price remained stable at 2.4% in the third quarter of the financial year 2017-18. However, Ahmedabad stood out as it recorded a surge of 8.8%, highest in major cities.
RBI’s new quarterly house price index (HPI) shows that there was a sequential increase of 2.4% in the third quarter, with all ten major cities recording an increase. Ahmedabad recorded the highest rise of 8.8% and Delhi recorded the minimum rise 0.1% in sequential terms.
On an annual basis, all-India HPI recorded growth of 7.6% in the third quarter as against 7.4% observed in the second quarter from 8.3% a year ago. RBI’s index is based on transaction data received from housing registration authorities in 10 major cities – Mumbai, Delhi, Chennai, Kochi, Kolkata, Bengaluru, Lucknow, Ahmedabad, Jaipur and Kanpur.
“The annual growth in HPI ranged from 26.6% (in Kochi) to 0.2% (in Bengaluru), indicating large divergences in city-wise housing price movements,” the central bank added. Despite the high sequential rise, house price in Ahmedabad is lower than Delhi, Mumbai and Lucknow.
The house price index in Mumbai is 257.4, Delhi 335.6, Bangalore 225.6, Ahmedabad 256.8, Lucknow 354.0, Kolkata 253.4, Chennai 228.2, Jaipur 149.4 Kanpur 149.1, Kochi 231.3, and all India 258.4 when 2010-11 is taken as the base year with a 100 score.