MUMBAI: Housing prices shot up 13.7 per cent during July-September this fiscal as against the corresponding period a year ago. The rise in prices come amid RBI Governor Raghuram Rajan’s call to realtors in mid-August suggesting a correction in prices in order to revive demand.
The housing price index increased to 219.5 in the second quarter of 2015-16 from 215.3 in the first quarter of mainly due to increase in HPI of Delhi, Ahmedabad and Chennai, RBI said in a statement.
The silver lining, however, as per RBI, the annual growth rate of housing prices has slowed down.
“Year-on-Year growth for HPI-All India further declined to 13.7 per cent in Q2 of 2015-16 (14.5 per cent in Q1 of 2015-16 and 17.5 per cent in Q4 of 2014-15) mainly due to decline of year-on-year growth of HPI of Kolkata, Jaipur and Lucknow,” RBI said.
As per the quarterly House Price Index (HPI) released on Friday, Delhi witnessed the maximum increase at nearly 22 per cent during the quarter under review. The all-India housing price index tracks all India and ten major cities namely Mumbai, Delhi, Chennai, Kolkata, Bengaluru, Lucknow, Ahmedabad, Jaipur, Kanpur and Kochi.
Cities that witnessed a decline in the price index include Kolkata, Kochi and Bengaluru during the second quarter of this fiscal over the previous quarter.
The data showed that the index of Delhi rose maximum at 21.9 per cent during the second quarter of 2015-16 compared with a year-ago.
he minimum year-on-year growth was in Kochi (-7.2 per cent). On quarter-on quarter basis, the housing price index for Kanpur witnessed the highest growth at 5.51 per cent, whereas Kolkata witnessed maximum fall in index of 3.13 per cent.