Loading Ticker...
You Are Here: Home » Realty

Housing Prices Go Up Despite Higher Interest Rates

Buyer activity remains strong, despite higher rates for home loans. Latest data from the National Housing Bank (NHB) indicates that, apart from Kochi and Hyderabad which witnessed a sharp drop in the NHB Residex, the housing price index went up in most metropolitan cities.

Real Estate Prices in India in tandem with increasing interest rates

Real Estate Prices in India in tandem with increasing interest rates

According to the NHB report, property prices during the last quarter of 2011 (from Oct to Dec) did not experienced any marked difference due to tapering demand, construction agencies or real firms holding land banks, or a slow down in the launch or progress of existing projects.

This price movement comes in the wake of the Reserve Bank of India’s campaign to slow down the growth in the real estate market and marked price increases, by hiking its benchmark rate 13 times since March 2010.

Even though interest rate hikes have resulted in lower speculation and participation by investors, there is still a lot of demand for housing among the growing, economically empowered young generation.

via, image


Share this post

Subscribe to our updates via e-mail or get our  RSS Feed
Enter your email address:


Other Related Stories: