Housing prices in the Delhi-NCR primary market rose 12 per cent annually during the July-September quarter, the highest increase among India’s top seven cities, as higher input costs and developers’ growing focus on premium and luxury projects pushed up average residential prices, according to real estate consultant Anarock.Anarock data showed that the average residential property price in Delhi-NCR increased to Rs 9,980 per square foot in the September quarter from Rs 8,900 per square foot in the same period last year.Across the top seven cities, average residential prices rose 7 per cent annually to Rs 9,714 per square foot from Rs 9,105 per square foot a year earlier.The seven cities covered in the analysis are Bengaluru, Mumbai Metropolitan Region (MMR), Delhi-NCR, Pune, Chennai, Hyderabad and Kolkata.
Higher input costs push up prices
Anarock vice chairman Santhosh Kumar said housing prices had risen sharply across major cities since the Covid-19 pandemic, driven by higher input costs, including land and construction raw materials.In Delhi-NCR, Kumar said land rates in Noida, Greater Noida and Gurugram had surged, a trend reflected in auctions conducted by development authorities.He also said real estate developers were increasingly focusing on premium, luxury and ultra-luxury housing projects.The rise in average prices comes as the Delhi-NCR market continues to see demand for higher-end residential properties. Manik Malik, CEO and president of BPTP Ltd, said housing demand remained steady.“In NCR, evolving infrastructure, connectivity and employment-led demand continue to support residential activity, particularly in the premium and luxury segments,” Malik said, as quoted by news agency PTI.
NCR prices rise despite marginal moderation in sales
Robin Mangla, president of M3M India, said sales in the National Capital Region saw a marginal moderation, while the annual rise in residential prices reflected the premium commanded by well-connected micro-markets.“In NCR, while sales saw a marginal moderation, the 12 per cent annual appreciation in residential prices reflects the market’s continued strength and the premium commanded by well-connected micro-markets,” Mangla said.Ashish Sarin, CEO and director of Alpha Corp Development Ltd, said the residential real estate market’s performance in the September quarter reflected the resilience of housing demand amid changing global and economic conditions.“Strong end-user demand continues to support sales, with housing increasingly being viewed as a long-term need rather than purely an investment avenue,” Sarin said.According to Anarock’s data, Delhi-NCR recorded the highest annual increase in average residential prices among the seven major housing markets during the July-September quarter, with prices rising 12 per cent compared with the 7 per cent increase recorded across the cities collectively.