Home prices are on the rise in India despite high interest rates in the banking system and inflation. The All-India Home Price Index (HPI) of the Reserve Bank of India rose by 4.34 per cent to 322 as of September 2024 as against 308.6 in September 2023, indicating that price rise is continuing across the metros, according to Reserve Bank of India data.
HPI has gone up by nearly 67 per cent in the last ten years from 193.05 in 2014-15 amid the pandemic, high inflation and interest rates.
The annual HPI growth varied widely across the cities, ranging from a high growth of 8.76 per cent (Bengaluru) to a decline of (-)2.0 per cent (Kanpur). On sequential (quarter-on-quarter) basis, all-India HPI decreased by 0.1 per cent in September 2024-25. Ahmedabad, Lucknow, Kolkata and Chennai recorded a sequential rise in house prices during the latest quarter, RBI data shows.
Home price index for Mumbai rose by 2.95 per cent to 303.62 in September 2024 as against 294.92 a year ago, Delhi increased by 3.31 per cent to 350.40 from 339.16 and Bengaluru by 8.76 per cent to 360.11 from 331.08.
The RBI’s home index is based on transaction-level data received from the registration authorities in top ten major cities. Read more
Source: Indian Express