Property prices in Pune grow by 12.5% 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 Pune have grown by 12.5% in June’10 compared with the same month last year. The index for the month of June stood at 1094 vis- a- vis 972 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’10) of continues decline caused by global meltdown.
The increase in the Pune index can be attributed to the hardening of property prices in the underlining markets of Aundh, Pimple Saudagar, Chinchwad, Karegaon Park, Wakad, Wanowarie, Hadapsar, Viman Nagar and Talegaon. The property price appreciation in these markets was more than the Pune city average. Other popular markets like Baner, Kalyani Nagar, Kharadi, Kothrud, Magarpatta and Vishrantwadi saw an appreciation lower than the city average.
If one looks at the short term (quarterly) trend and compare the price index for June’10 with that of March’10, one would observe softening in property prices. The Pune index during this period has moved from 1197 in March’10 to 1094 in June’10 signifying a fall of 8.6%. 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%) & Kolkata (5.8%) and Ahmedabad (10.3) whereas it has fallen in markets like Chennai (-10.6%), Mumbai (-4%) & Bangalore (-0.8%).
Commenting on the findings, Aditya Verma – COO, Makaan.com says, “Pune property prices have moved up at a rapid pace keeping many home buyers at bay. The un-expected fast run-up has lead to a mood of caution in the near term. 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.