Mumbai's luxury home prices experienced the third highest growth globally on an annual basis, as reported by the Prime Global Cities Index Q4 2023 conducted by Knight Frank India. In Q4 2022, the financial hub of India ranked eighth with a 6.4 percent increase in prime residential prices compared to the previous year's 10 percent rise.
In contrast, Bengaluru witnessed a decline in its ranking from 20th position in the fourth quarter of 2022 to 27th in the October to December period of 2023. However, despite this drop, the city experienced a 2.2 percent year-on-year growth in residential prices. In Q4 2022, the National Capital Region (NCR), comprising Delhi and its surrounding areas, experienced a significant rise in its ranking, moving from 28th place to 16th place in Q4 2023. This remarkable progress reflects a growth rate of 4.2 percent compared to the previous year.
Knight Frank India highlighted that the significant price growth of 10 percent in Mumbai during the year 2023 was predominantly fueled by affluent purchasers seeking to enhance their lifestyle. This surge in property prices occurred amidst a robust economic landscape that continues to gather momentum.
According to the report, the study encompassing 45 markets revealed a notable increase of 3.7 percent in the global prime residential price index during the 12-month period ending in December 2023. This growth rate stands as the most robust recorded since the third quarter of 2022, with 82 percent of cities experiencing annual growth.
Manila claimed the top spot among global cities, registering a significant 26.3 percent year-on-year increase in residential property prices. The strong performance of the capital of the Philippines can be credited to robust investments from both domestic and foreign sources.
Shishir Baijal,chairman and managing director at Knight Frank India, explained,"The strong growth in prime prices is a reflection of the surge in demand seen in this residential segment across markets in India. With homebuyers increasingly prioritising lifestyle upgrades, bolstered by the nation's stable economic outlook and positive market sentiment, this segment should likely see price levels continue to elevate in the near term."
Copyright © 2024 HomesIndiaMagazine. All Rights Reserved.
