Mumbai lowest-ranked Indian city with a global ranking of 146th on the index, registering a decline of 1.8% in home prices: Knight Frank Global Residential Cities Index Q3 2021
by Shrutee K
Annual average residential price across 150 global cities increases by 10.6% in Q3 2021: Knight Frank Report
Mumbai lowest-ranked Indian city with a global ranking of 146th on the index, registering a decline of 1.8% in home prices
Mumbai, December 2021: In its latest report Global Residential Cities Index Q3 2021, Knight Frank, a leading international property consultancy cited that residential price across the 150 cities worldwide increased at an annual average of 10.6% YoY in Q3 2021. This is recorded as the fastest residential price growth rate since Q1 2005. The report highlighted that 93% of cities saw prices increase over the 12-month period. 44% of cities registered double-digit price growth in the year to Q3 2021. Knight Frank’s Global Residential Cities Index has featured four Indian cities i.e. Hyderabad, Chennai, Kolkata and Ahmedabad to have witnessed residential price appreciation in Q3 2021.
Hyderabad positioned at 128th rank on Global Residential Cities Index with 2.5% year-on-year (YoY) rise in home prices. On domestic level, Hyderabad recorded the highest residential appreciation amongst the Indian cities. Chennai ranked 2nd amongst Indian cities and 131st globally with residential price appreciation of 2.2%. Kolkata ranked 135th and Ahmedabad at 139th on the global index with a price appreciation of 1.5% and 0.4% respectively in the residential asset class. Mumbai was the lowest-ranked Indian city with a global ranking of 146th on the index, registering a decline of 1.8% in home prices.
Among the other Indian cities that have seen marginal de-growth in home prices were Bengaluru ranked at the 140th spot with a decline of 0.2% YoY, followed by Delhi at 142nd rank with a decline of 0.7% YoY, Pune ranked 144th with a fall of 1.5% YoY.
The Global Residential Cities Index tracks the movement in mainstream residential prices across 150 cities worldwide using official statistics. The Turkish city of Izmir leads the Knight Frank’s Global Residential Cities Index Q3 2021 with the highest growth rate of 34.8%, followed by Wellington in New Zealand at 33.5%. Kuala Lumpur ranked the lowest in terms of price appreciation (-5.7%) on Global Residential Cities Index.
THE KNIGHT FRANK GLOBAL RESIDENTIAL CITIES INDEX Q3 2021
RANKED BY ANNUAL % CHANGE
12-Month % Change (Q3 2020-Q3 2021)
Source: Knight Frank Research
TOP 8 INDIAN CITIES: ANNUAL RANKING AND PRICE CHANGE
ANNUAL % CHANGE
ANNUAL % CHANGE
Source: Knight Frank Research
Shishir Baijal, Chairman & Managing Director, Knight Frank India said, “India has seen a strong demand revival being supported by government stimulants, increased household savings, as well as low interest rates. Pricing has played a key role in pushing up home sales, as they had, for most part of the last 6 quarters remained attractive. As demand trends developed residential values firmed up in many markets, and is now expected to remain between stable to increasing. However, developments in the pricing dynamics will depend on the future demand. Factors like interest rates, impact of Omicron and inflationary pressures, amongst will determine buyer sentiments. We hope that the government will continue to maintain its accommodative and positive status in maintaining the current economic environment to help maintain the sales momentum in the residential segment.”
About Knight Frank: Knight Frank LLP is a leading independent, global property consultancy. Headquartered in London, Knight Frank has more than 20,000 people operating from over 488 offices across 57 markets. The Group advises clients ranging from individual owners and buyers to major developers, investors and corporate tenants. For further information about the Company, please visit www.knightfrank.com.
Knight Frank India is headquartered in Mumbai and has more than 1,200 experts across Bangalore, Delhi, Pune, Hyderabad, Chennai, Kolkata and Ahmedabad. Backed by strong research and analytics, our experts offer a comprehensive range of real estate services across advisory, valuation and consulting, transactions (residential, commercial, retail, hospitality, land & capitals), facilities management and project management. For more information, visit www.knightfrank.co.in
For further information, please contact:
Piyali Dasgupta (Knight Frank India)
Mansoor Khan (White Marque Solutions)