House price index (HPI) in India saw a slight upward trend towards the end of last year, states a recent report.
According to data released by the Reserve Bank of India on Tuesday (28), HPI rose 2.8 percent in the October-December quarter of 2022-23 as compared with 3.1 percent a year ago.
The RBI releases quarterly HPI based on transaction-level data received from the registration authorities in ten major cities. The cities are Ahmedabad, Bengaluru, Chennai, Delhi, Jaipur, Kanpur, Kochi, Kolkata, Lucknow, and Mumbai.
The movements in HPI during the third quarter of the current fiscal varied widely across the cities – ranging from a growth of 7.1 percent (Kochi) to a contraction of 9 percent (Jaipur).
“On a sequential (q-o-q) basis, all India HPI increased by 1.3 percent in Q3:2022-23; while Lucknow, Kolkata, and Jaipur recorded sequential contraction in the index, it rose for the remaining cities,” Money Control quoted RBI as saying.
Beginning with Mumbai city, the Reserve Bank initiated the work of compiling a house price index (HPI) in 2007 and brought out a quarterly HPI for Mumbai city. Over the quarters, the coverage has been extended by incorporating the nine other cities.
HPI saw a rise of 4.5 per cent year-on-year (y-o-y) in the second quarter of 2022-23, compared to 3.5 per cent in the previous quarter. The rise ranged from ranging from 11.1 per cent growth in Kochi to a 4.1 per cent contraction in Jaipur.