Property prices in India remain stable March 2012 - says Makaan.com Property Index
Makaan.com Property Index – National
- Monthly Trend: At the National level, the property prices remained stable in the last one month. The Index in March 2012 stands at 1463 as against 1447 in February 2012.
- Quarter Analysis: Over the last quarter, the MPI has seen a much stability - it has moved from 1466 in December 2011 to 1463 in March 2012, a meager drop of 0.2%.
- Year-on-Year Movement: As compared to last year i.e. March 2011, the MPI in March 2012 has moved up by 5.6%. Prices have been rising steadily, with minor highs and lows over the last year. The MPI figure in March 2011 was at 1385 and has moved to 1463 in March 2012.
Makaan.com Property Index – City level
- Monthly Trends: In the last one month most cities have seen stable property prices. Property prices in key markets - Delhi, Kolkata, Chennai, Ahmedabad, Hyderabad and Pune have remained stable. Only Mumbai and Bangalore registered a slight appreciation.
- Quarter Analysis: Over the last quarter, i.e.between December 2011 to March 2012, the key property markets have seen a downward trend. Property prices in Kolkata, Ahmedabad and Hyderabad have dropped while Chennai, Mumbai, Delhi and Pune remained stable. Bangalore registered a property price increase.
- Year-on-Year Movement: Over the last 1 year,i.e. between March 2011 to March 2012, most cities have seen significant increase in property prices, with Kolkata with maximum appreciation. Mumbai, Chennai, Bangalore and Pune are other cities that saw property price appreciation. The Hyderabad and Ahmedabad market has witnessed a drop while the Delhi market remained stable.
- 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: Wed Jul 11 2012