buy a house There is bad news for the people living the dream of the country. Property prices have increased by 32% in the last 1 year. Already the skyrocketing cost of housing has made it out of reach for the common people. The ongoing increase in prices has given another big blow. Let us tell you that with strong demand in 8 major cities of the country, house prices have increased by an average of 11% on an annual basis in the July-September quarter. Delhi-NCR has seen the highest increase of 32%. A joint report by Credai Colliers and Lyces Foras released on Monday said average house prices have increased for the 15th consecutive quarter in 2021. However, realty experts say that this growth is being seen on the strength of investors. End users are not able to buy houses even if they want to. In such a situation, this boom is not going to last for long. How long will investors drive the market? Once again there will be slowdown in real estate.
Average price was Rs 11,000 per square foot
According to the report, residential prices in India’s top eight markets rose by an average of 11 per cent year-on-year to Rs 11,000 per square foot in the third quarter (July-September) of 2024. The main reasons for this were strong demand and positive market sentiment. Delhi-National Capital Region (NCR) saw the highest annual growth of 32 percent. After this, there was an annual growth of 24 percent in Bengaluru. According to the data, average Delhi-NCR housing prices rose 32 per cent to Rs 11,438 per sq ft in July-September this year from Rs 8,655 per sq ft in the same period a year ago. Rates in Bengaluru rose to Rs 11,743 per sq ft from Rs 9,471 per sq ft on a year-on-year basis. Apart from these, rates increased by 16 percent in Ahmedabad, 10 percent in Pune, four percent in Mumbai Metropolitan Region (MMR), three percent each in Hyderabad and Kolkata and two percent in Chennai.
New offers are gradually decreasing
CREDAI National President Boman Irani Said that the continued rise in residential prices confirms the positive sentiments of home buyers and the highly favorable trend of the real estate market. Badal Yagnik, Chief Executive Officer, Colliers India, said that possible relaxation in monetary policy and expected policy rate cut could provide financial relief to home buyers in the near future. Pankaj Kapoor, managing director of Licens Foras, said sales and prices have been continuously increasing, which shows that demand remains intact. The luxury segment continues to dominate, he said, although we are seeing a gradual decline in new launches.
Why is the price of property continuously increasing?
Antriksh India Group CMD Rakesh Yadav told India TV Told that there are many reasons behind the increase in property prices. In the last few years, raw materials, land, labor cost and construction cost have increased manifold. This has increased the overall project cost. Apart from this, demand in the market is high and supply is less. In such circumstances, developers are not launching affordable projects even after wanting to. Therefore the price of property is continuously increasing.
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