House Price Growth Remains Modest In 4qfy21

House prices grew on average by just 3% YoY in the first quarter of this year in the 10 major cities of India. They declined in 4 out of the 8 key cities and grew by less than 1% in another 2. Only two cities, Bengaluru and Kochi saw above 5% YoY growth.

This is the 4th consecutive quarter of sub 3% growth in all-India average house prices. Indeed this is the 9th consecutive quarter of sub 5% growth. With inflation averaging over 5% during this period, property prices have declined in real terms in the last couple of years.