Property prices in India remain stable in September 2011 - says Makaan.com Property Index
Makaan.com Property Index – National
- Monthly Trend: At the National level, the property prices remained stable in the last month.The Index in September 2011 stands at 1507 as against 1487 in August 2011.
- Quarter Analysis: Over the last 3 months, the MPI has seen stability and has moved from 1486 in June 2011 to 1507 in September 2011, a meager increased of 1.4%.
- Year-on-Year Movement: As compared to last year i.e. September 2010, the MPI in September 2011 has moved up by 28.3%. Prices dropped significantly in the third 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.
Makaan.com Property Index – City level
- Monthly Trends: In the last month most cities have displayed varying trends in property prices. Property prices in Mumbai, Delhi and Ahmedabad remained stable Kolkata, Chennai and Pune registered an appreciation and Bangalore, Hyderabad and Chandigarh registered a drop.
- Quarter Analysis: Over the last quarter, i.e. between June 2011 to September 2011, there are many steep upward and downward swings in property prices across cities. Property prices in key markets, Mumbai, Bangalore, Ahmedabad, Hyderabad and Chandigarh saw a decline in property prices, whereas Delhi, Kolkata and Pune witnessed an increase. Prices in Chennai remained stable.
- Year-on-Year Movement: Over the last 1 year, i.e. between September 2010 to September 2011, all the cities saw a significant increase in property prices. Chandigarh, 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.
Last Updated: Mon Dec 05 2011