New Delhi, 21 June (IANS). The fourth quarter of FY 2025 recorded an increase of 3.1 percent in the Housing Price Index (HPI) across India, which reflects maintaining the same speed as the previous quarter.
The Reserve Bank of India released its quarter HPI data for the fourth quarter based on the transaction-level data received from registration officers in 10 major cities.
According to an RBI statement, “All-India HPI increased by 3.1 percent on an annual basis in the fourth quarter of 2024-25, compared to 3.1 percent in the previous quarter and 4.1 percent a year ago. The annual HPI growth in cities was widely increased. Kolkata recorded a high increase of 8.8 percent and 2.3 percent declines in Kochi.”
On a gradual basis, the All India HPI increased by 0.9 percent in the fourth quarter.
Statistics showed that Bengaluru, Jaipur, Kolkata and Chennai are the major cities to register a gradual increase in the prices of homes during the latest quarter.
Kolkata topped the chart with an increase of 8.8 percent, while Kochi was the only city that recorded a decline of 2.3 percent. The index includes 10 cities in Ahmedabad, Bangalore, Chennai, Delhi, Jaipur, Kanpur, Kochi, Kolkata, Lucknow and Mumbai.
According to the central bank, “The house is not only an asset, but also a durable consumption item for families that provide shelter and other services. Change in the price of the house affects the lifetime property of the families, so it affects the decision and borrowing decision.”
Increase in the price of the house increases the price of housing compared to construction costs; Therefore, when the price of the house rises above the cost of construction, the new construction is beneficial.
‘Residential investment’ is positively associated with an increase in the price of the house. Home prices also affect bank loans. In addition, the increase in the price of the house increases the housing collateral.
-IANS
SKT/