In the third July-September quarter of the current calendar year, house prices in Delhi-NCR and Bengaluru have increased by 29 percent on an annual basis. This information has been obtained from the data of real estate consultant Anarock. According to Anarock, the rise in production costs and increase in supply of luxury homes have led to a sharp rise in housing prices.
According to Anarock data, the average price of residential properties in Delhi-NCR rose 29 per cent to Rs 7,200 per sq ft in the July-September quarter from Rs 5,570 per sq ft in the year-ago period. In Bengaluru, house prices increased by 29 percent to Rs 8,100 per square foot in the third quarter of this calendar year, from Rs 6,275 per square foot in the same period last year.
Similarly, Hyderabad saw the highest increase of 32 percent in prices, which increased from Rs 5,400 per square foot to Rs 7,150 per square foot. Average housing prices in the Mumbai Metropolitan Region (MMR) rose 24 percent to Rs 16,300 per square foot from Rs 13,150. In Pune, prices rose 16 per cent to Rs 7,600 from Rs 6,550 per square foot, while in Chennai they rose 16 per cent to Rs 6,680 from Rs 5,770 per square foot. Average house prices in Kolkata rose 14 percent to Rs 5,700 per square foot in July-September from Rs 5,000 per square foot in the same period a year ago.
Darshan Govindaraju, director of Bengaluru-based realty firm Vaishnavi Group, said the average prices of residential property have been increasing for the last few quarters. The reason for this is the increase in total production cost. This includes land acquisition cost and construction cost. Apart from this, due to increase in demand for luxury i.e. expensive houses, there has also been a rise in housing prices.
Anarock said last week that average residential property prices in the top seven cities have collectively increased by 23 per cent year-on-year. It has increased from Rs 6,800 per square foot in the third quarter of 2023 to Rs 8,390 per square foot in the third quarter of 2024.
According to Anarock data, home sales declined by 11 percent to 1,07,060 units in July-September from 1,20,290 units in the same period a year ago. The supply of new homes in the top seven cities saw a decline of 19 percent. In July-September, the offer of new homes stood at 93,750 units, compared to 1,16,220 units in the same period in 2023.
