Home prices across the top eight cities in India surged 20 per cent in 2023 as compared to 2021, owing to high demand aided by a favourable interest rate cycle and positive economic outlook, a report said on Wednesday.
According to the CREDAI–Colliers-Liases Foras Housing Price-Tracker Report, the highest rise in prices was witnessed in Delhi-NCR.
The home prices in Delhi-NCR rose 32 per cent in 2023 as compared to 2021, followed by 31 per cent in Bengaluru and 30 per cent in Kolkata.
However, despite the rise in prices, the inventory fell by 19 per cent in Delhi.
Boman Irani, president of CREDAI National on the development said, “The year-on-year increase in housing prices is a combination of a number of factors – characterised by strong, robust demand from homebuyers – especially for mid and premium segments, along with the existence of a conducive buying eco-system coupled with healthy macro-economic factors, and the rise in prices of construction materials.”
However, as compared to 2022, the price rise in 2023 was at a lower 9 per cent. In the last one year, the highest rise in home prices was seen in Bengaluru (21 per cent ), followed by Kolkata (11 per cent ) and Hyderabad and Pune (10 per cent each).
In the fourth quarter of 2023, almost all the major regions in Delhi NCR witnessed a dip in prices as compared to a year ago. This included Delhi (-36 per cent), Dwarka Expressway (-4 per cent), Faridabad (-9 per cent), Ghaziabad (-25 per cent), Sohna Road (-19 per cent), Greater Noida (-32 per cent), Noida Expressway (-10 per cent) and Noida Extension (-18 per cent).