Housing / Property Prices – Are they realistic & transparent?

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Kolkata and Delhi are inclined towards a price rise as compared to Hyderabad, which is more inclined towards a price decrease. Perception of home prices being high is maximum in Mumbai and Pune. In Kolkata and Hyderabad, more perceive prices to be reasonable, claims a recent survey by private sector. Such announcement favours the builders and developers to increase prices and manipulate.
The Govt initiated `NHB Residex’, the index which is expected to fill the void created by an absence of a relevant benchmark in the booming housing market in India. It promises to capture relationship between the residential property prices and the various backward and forward linkages it has in the economy. Let’s hope investors get return for every buck.
It compiles the indices for 10 major cities – Greater Mumbai, Kolkata, Delhi, Chennai, Banagalore, Hyderabad, Ahmedabad, Kanpur, Jaipur and Patna. Useful for individual buyers, builders, housing finance industry as well as Government and policy-makers.
Buyers and builders can benefit by interpreting the indices to get an idea regarding demand and price movements of different types of houses in various cities and localities. Also the housing finance industry can use the indices to assess the likely demand for finance.
Until now, very little information is available to the home buyers and investors through local real estate agents and investment advisors, who have limited resources and may not be considered to be independent or objective in their opinions. With the persistent boom of the housing sector,there was surely a need to monitor the movement of value of the underlying assets (i.e. the real estate) and ensure that there are no undue mark-ups on either side of the economically efficient pricing. In fact, there is a need for reliable, unbiased information about the long-term performance of residential property specifically in terms of its pricing and their movements over time.
City Wise Housing Price Index: January-March, 2015

CITIES

2007 Index
Oct-Dec 2012 Index

Jan- Mar 2013 Index

Apr-Jun 2013 Index

Jul-Sept 2013 Index

Oct- Dec 2013 Index

Jan-March 2014 Index

April-June 2014 Index

July-Sept
2014 Index

Oct- Dec 2014 Index

Jan-March 2015 Index

Hyderabad

100

90

88

84

88

93

95

95

93

95

97

Faridabad

100

205

207

202

204

209

209

211

216

222

224

Patna

100

151

152

147

150

159

150

154

153

157

160

Ahmedabad

100

191

192

186

191

197

209

213

217

215

215

Chennai

100

314

310

303

318

330

349

355

362

366

364

Jaipur

100

87

112

110

108

105

101

102

101

103

102

Lucknow

100

189

183

187

191

185

194

193

196

198

200

Pune

100

205

221

219

219

235

232

241

242

247

251

Surat

100

150

140

142

145

154

165

161

160

164

168

Kochi

100

87

89

86

86

85

85

86

88

88

88

Bhopal

100

216

230

227

220

223

226

229

232

233

239

Kolkata

100

209

197

189

199

196

206

211

209

215

212

Mumbai

100

217

222

221

222

222

229

233

238

240

238

Bengaluru

100

106

109

108

107

111

107

108

109

113

115

Delhi

100

195

202

199

190

196

199

193

189

189

190

Bhubaneswar

100

172

197

195

193

202

195

196

197

192

188

Guwahati

100

166

153

147

149

160

154

159

160

163

168

Ludhiana

100

179

167

157

150

150

145

147

146

147

145

Vijayawada

100

185

184

174

167

161

160

163

161

162

163

Indore

100

194

195

184

180

184

181

187

188

191

195

Chandigarh

100

194

191

192

188

183

175

174

173

169

Coimbatore

100

184

178

178

173

170

176

180

176

179

Dehradun

100

183

184

184

186

191

187

188

187

190

Meerut

100

191

189

176

171

165

159

159

161

163

Nagpur

100

163

168

162

175

180

181

180

184

187

Raipur

100

156

155

157

159

166

166

165

171

173

(Real Estate Price Table, Source: National Housing Bank)

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