Property prices in Mumbai grow by 15.7% in the last one year - says Makaan.com Property Index
As per the latest release of Makaan.com Property Index (MPI), real estate prices in Mumbai have grown by 15.7% in June’10 compared with the same month last year. The index for the month of June stood at 1174 vis- a- vis 1015 a year ago. The trend for June’10 deserves a special mention as it was around this time last year that the property prices started to look up after 9 months period (Oct’09 to June’09) of continues decline caused by global meltdown.
The increase in the Mumbai index can be attributed to the hardening of property prices in the underlining markets of Harbour, Andheri-Dahisar, South–West Mumbai, Central Mumbai, Navi Mumbai and Mira Road and beyond. The property price appreciation in these markets was equal to or more than the Mumbai city average. Other popular markets like South Mumbai, Thane and beyond saw an appreciation lower than the city average.
If one were to look at the short term (quarterly) trend and compare the price index for June’10 with that of March’10, one would observe consolidation in property prices. The Mumbai index during this period has moved from 1222 in March’10 to 1174 in June’10 a marginal fall of 4%. This indicates a short term fatigue in the property prices after an upturn seen earlier in the year. When it comes to other major cities, the index has moved up in markets like Delhi (15.1%), Ahmedabad (10.3%), Kolkata (5.8%) and Hyderabad (2.7%) whereas it has fallen in markets like Chennai (-10.6%), Pune (-8.6%) & Bangalore (-0.8%).
Commenting on the findings, Aditya Verma – COO, Makaan.com says, “In the near term the mood seems to be that of caution. The home buyers seem to be in a wait and watch approach. The price movement over the next few months will determine the next definitive trend”.
Makaan property index is a part of a bigger initiative known as MakaanIQ that has been bringing out property intelligence & research reports for the benefit of homebuyers and real estate industry.