With the growth of economy and rapid urbanization, property prices in almost all Tier 1 & many Tier II cities have seen an upward trend. The National Housing Bank (NHB) had earlier set up a Technical Advisory Group (TAG) to explore the possibility of constructing a real estate price index.
Source: Economic Survey 2007-08
According to TAG’s pilot report submitted for select cities in India, some cities like Bangalore have seen a price rise of 28.8 % year on year and Delhi according to the report has seen a price rise of 19.1 % year on year. These numbers are significant and although an index which would be able to give the overall picture for the country is being planned and will take sometime to come, this index atleast gives some indicators as to what is the Real Estate trend.
One important thing is that these figures are only till 2005. NHB, however, is setting up an institutional mechanism for releasing an economy-wide housing price index on a regular basis.
According to TAG’s pilot report submitted for select cities in India, some cities like Bangalore have seen a price rise of 28.8 % year on year and Delhi according to the report has seen a price rise of 19.1 % year on year. These numbers are significant and although an index which would be able to give the overall picture for the country is being planned and will take sometime to come, this index atleast gives some indicators as to what is the Real Estate trend.
One important thing is that these figures are only till 2005. NHB, however, is setting up an institutional mechanism for releasing an economy-wide housing price index on a regular basis.
Contributed By : Rahul Gandhi
1 comment:
Hello Rahul,
Your article contains very useful information.
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