Mumbai ranks 3rd, Delhi 5th among 44 cities globally in housing price rise during Jan-Mar: Report

Mumbai is ranked third and Delhi fifth among top 44 cities globally in terms of appreciation of housing prices during January-March 2024 period, according to Knight Frank.

Mumbai ranked 6th and Delhi 17th in the same period last year.

Manila is at first position with a 26.2 per cent annual growth in prices, followed by Tokyo at 12.5 per cent.

In its report 'Prime Global Cities Index Q1 2024', real estate consultant Knight Frank said that Mumbai recorded an 11.5 per cent year-on-year (YoY) growth in prime residential prices in January-March 2024.

Delhi rose from 17th rank in January-March 2023 to 5th position in January-March 2024 with a growth of 10.5 per cent YoY.

However, Bengaluru observed a decline in ranking from 16th place in Q1 2024 to 17th rank in Q1 2024, even while it recorded a 4.8 per cent YoY growth in residential prices.

Knight Frank said the Prime Global Cities Index (PGCI) is a valuation-based index, tracking the movement of prime residential prices across 44 cities worldwide using data from its global research network. 

The index tracks nominal prices in local currency.

Shishir Baijal, Chairman and Managing Director at Knight Frank India, said the strong demand trend for residential properties has been a global phenomenon, led by gateway markets of Asia-Pacific and EMEA.

"Like its peers in these regions, the improved rankings of Mumbai and New Delhi on the Prime Global Cities Index was underscored by the resilience in sales growth volume. We expect the momentum of sales to remain stable over the next few quarters as the economic conditions are likely to remain broadly unchanged," he said.

The consultant noted that global housing price growth has strengthened.

Across 44 cities globally, Knight Frank said the average annual house price growth rose by 4.1 per cent in the 12 months to March 2024. 

"Prices are rising at their fastest rate since the third quarter of 2022," it added.