For under-construction properties, housing prices went up in 39 cities by up to 17 per cent and declined in 8 cities by up to 8 per cent and remained stable in 3 cities.
The National Housing Bank (NHB), which launched housing prices index ‘NHB RESIDEX‘ in 2007 to track the movement in housing prices on quarterly basis, has revamped the system by changing the base year and releasing separate index for under construction properties.
“NHB RESIDEX has been revamped to include cluster of indices with updated base year, revised methodology and automated processes. The revamped NHB RESIDEX is wider in its geographic coverage…,” it said in a statement.The revamped index captures two housing price indices — ‘HPI@ Assessment Prices for 50 cities and HPI@ Market Prices for Under Construction Properties for 50 cities’. The coverage is spread across 21 states in India.
NHB RESIDEX also includes Composite HPI@Assessment Prices and Composite HPI@Market Prices for Under Construction Properties for 50 cities each.
Till March 2018, HPIs tracked the movement in prices of residential properties on a quarterly basis, taking 2012-13 fiscal as the base year. Now, the base year has been shifted to FY 2017-18.
“Composite HPI@Assessment Prices stood at 83 in June, 2013 and has moved up to 101 in the current quarter i e June, 2018. The index has moved up with a CAGR of 3.8 per cent over the years. The index increased by 2 per cent on YoY (Year-on-Year) basis,” NHB said.
City-wise, it said the HPI recorded an overall increase in 33 cities, decrease in 14 cities and no change in 3 cities on y-o-y basis. “Annual growth in HPI ranged from 21.7 per cent in Ranchi to (-) 13.4 per cent in Bhiwadi at the end of the quarter”.
Among the 8 Tier-1 cities, Ahmedabad witnessed maximum increase at 12.9 per cent on y-o-y basis, followed by Hyderabad (9.5 per cent), Pune (7.2) per cent and Mumbai (5.2 per cent), Bangalore and Kolkata (2 per cent).
Chennai witnessed no change and Delhi witnessed a fall in index by (-) 4.8 per cent.
Of the 29 Tier-2 cities, NHB said that significant rise in indices was seen in Ranchi (21.7 per cent), followed by Nashik (8.4 per cent), Surat (7.4 per cent) and Vadodara (7.4 per cent), while significant fall in indices was seen in Ludhiana (-12.3 per cent) and Jaipur (-9.1 per cent) on y-o-y basis.
In 13 Tier-3 cities, Gandhinagar (12.8 per cent), Chakan (10.8 per cent) and New Town Kolkata (10.5 per cent) showed significant increase in indices, while Bhiwadi (-13.4 per cent) showed maximum decrease.
In under-construction properties, NHB said that composite HPI@Market Prices stood at 84 in June, 2013 and have steadily moved up to 101 in the current quarter i.e. June, 2018. The index has moved up with a CAGR of 3.6 per cent over the years. On y-o-y basis, the index has witnessed a rise of 3.1 per cent.
City-wise, the HPI recorded an overall increase in 39 cities, decrease in 8 cities and no change in 3 cities on y-o-y basis.
“Annual growth in HPI ranged from 16.9 per cent in Kolkata to (-) 8.3 per cent in Faridabad at the end of the quarter,” the statement said.
Annually, all the 8 Tier 1 cities showed growth with Kolkata (16.9 per cent), followed by Hyderabad (6.3 per cnet), Mumbai (4.1 per cent), Delhi (4.1 per cent), Chennai (3.1 per cent), Pune (2 per cent), Ahmedabad (2 per cent) and Bengaluru (1 per cent).
Among 29 Tier-2 cities, the maximum increase in indices was seen in Indore (9.7 per cent) followed by Dehradun (8.3 per cent) and Lucknow (7.5 per cent), while maximum decrease in indices was seen in Faridabad (-8.3 per cent), Thiruvananthapuram (-7.5 per cent) and Vadodara (-3.9 per cent), on y-o-y basis.
In the 13 Tier-3 cities, the variations ranged from 14.4 per cent in Bidhan Nagar to (–) 4.8 per cent in Howrah on y-o-y basis.