Housing prices in Mumbai, Kolkata down; Delhi rates up in Q3
It is widely expected that the Standing Committee will submit its report before the Budget session of Parliament beginning March 12.
Prices of residential properties in Mumbai and Kolkata witnessed a downward movement while Delhi prices firmed up during the third quarter of the current fiscal, as per the latest Residex released by the National Housing Bank (NHB).
Prices of houses in Kolkata and Mumbai declined by 0.5 per cent in October-December period of 2011-12 compared to previous quarter. Among other cities, the maximum decline was observed in Kochi at 15.5 per cent followed by Hyderabad at 6 per cent, Jaipur 1.5 per cent and Patna 0.7 per cent.
NHB, which is the housing finance regulator, said, "The movement in prices of residential properties has shown an increasing trend in nine cities and decline in six cities covered under NHB Residex during the quarter October-December, 2011 in comparison to the previous quarter."
"The property prices during quarter have not witnessed significant fluctuations or corrections due to moderation in demand, real estate firms or construction agencies holding land banks and slow down of launching of new residential projects and/or progress of the existing projects," it added.
As per the Residex, which tracks property prices movement in 15 cities, residential property rates in Surat rose by 9.4 per cent followed by Chennai at 9.2 per cent, Pune at 8.9 per cent, Delhi 8.4 per cent and Bengaluru 7.5 per cent.
Besides, property prices in Lucknow during quarter rose by 7.1 per cent, Faridabad 5.8 per cent, Ahmedabad 2.5 per cent and Bhopal 1.4 per cent.
The index has taken into account the price trends for residential properties in different locations and zones in each city as per classification devised for the purpose, NHB said in a statement.
The index seeks to provide a "better understanding" of the trends in the residential property market and is helpful for consumers, property dealers and other stakeholders.
As the Residex evolves, it is expected to bring greater uniformity and standardisation in the valuation of properties across the industry, NHB said.