On December 27, 2019 global property consultant Knight Frank released a report titled “Global House Price Index Q3 2019”. The report was about housing prices in a particular quarter of the financial year. As per the report, India was ranked at 47th place out of 56 countries, while Hungary topped the list. The report in detail are as follows:
Report on India:
- The rank of India was in terms of appreciation in housing prices as the housing rates grew by only 0.6% year-on-year (YoY) rise during July-September quarter (quarter 2/Q2) over the year-ago period on slow demand.
- 1st quarter: In the first quarter, ie., April-June quarter of 2019, India stood at 11th position with a 7.7 % year-on-year rise in home prices.
- Restricted home prices: Slow sales, high inventory and lack of liquidity with developers were the factors that restricted the rise in home prices.
- Healthy end user market: Regulations imposed by the govt. in order to ensure accountability in the system such as the Real Estate (Regulations and Development) Act, 2016, led to healthy end-user market.
- Data on last 4 years: The growth in residential prices in most of the top eight cities of India were found to be low below the retail inflation growth.
- The Global House Price Index Q3 2019 tracks the movement of residential prices across 56 countries and territories worldwide using official statistics.
- Top rankers: The top ranked Hungary leads the index with 15.4% annual price growth, followed by Luxembourg at 11.4% and Croatia at 10.4% in the second and third rank respectively. Slovakia was ranked at 4th place with home pricing rate 9.7%, Latvia- 5th rank (9%), Czech Republic- 6th (8.7%), China-7th rank (8.5%), Jersey-8th rank(8.5%), Mexico- 9th rank(8.4%) and Russia- 10th rank(8.1%).
- Worldwide growth: Across 56 countries, the prices rose at an annual rate of 3.7% on average. It is to be noted that it is the slowest rate of growth for over 6 years.
- 91% of total evaluated countries and territories registered static or positive growth in the year to September 2019.
About Knight Frank:
Headquarters- London, United Kingdom(UK).
Founder- John Knight, Howard Frank and William Rutley.
Knight Frank India Chief Managing Director(CMD)- Shishir Baijal.