Property prices in Ahmedabad dropped by 8.49% in November 2011 - says Makaan.com Property Index

Makaan.com Property Index – City level

• Monthly Trend: The property prices in Ahmedabad have dropped by 8.49% in the last one month. The Index in November 2011 stands at 1939 as against 2119 in October 2011.

• Quarter Analysis: Over the last 3 months, the MPI has seen a drop of 7.24% - it has moved from 2091 in August 2011 to 1939 in November 2011.

• Year-on-Year Movement: As compared to last year, the Ahmedabad Property Index in November 2011 has remained stable. Prices had dropped significantly in the second quarter of 2011 due to the economic slowdown. From thereon, the prices have been rising steadily, with minor highs and lows.

• City Level: Over the last 1 year,i.e. between November 2010 to November 2011, all the cities saw a significant increase in property prices. Property prices in Bangalore, Chennai and Pune witnessed maximum appreciation.

• Going forward: Indian Real Estate market is going through a challenging phase with multiple macro economic headwinds like poor liquidity for developers, increased cost of construction, high land prices, delayed projects, high interest rates. These factors are keeping the home buyers away from the market. Over the coming months the property prices in India are likely to move in a narrow range with a slight negative bias.