Property prices in Bangalore appreciate by 8% in July 2011
Makaan.com Property Index – City level
- Monthly Trend: The property prices in Bangalore increased by 8% in the last one month. The Index in July 2011 stands at 1363 as against 1266 in June 2011.
- Quarter Analysis: Over the last 3 months, the MPI has seen increased by 24% - it has moved from 1100 in April 2011 to 1363 in June 2011.
- Year-on-Year Movement: As compared to last year, the Bangalore Property Index in July 2011 has increased by a whopping 59%. Prices had dropped significantly in the second quarter of 2010 due to the economic slowdown. From thereon, the prices have been rising steadily, with minor highs and lows over the last 3 quarters.
- City Level: Over the last 1 year,i.e. between July 2010 to July 2011, most cities have seen significant increase in property prices. Except for stable property prices in Kolkata, other major cities, like Delhi, Mumbai, Ahmedabad, Chennai, Bangalore and Pune saw an increase in property prices. These cities have led the National Index to increased by 37% over the last 1 year.
- 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.
Last Updated: Tue Oct 18 2011