Housing Prices Surge Amid Rising Input Costs: A City-Wise Breakdown

PropEquity reports a 9% rise in weighted average prices of new housing projects due to high input costs. Significant price hikes were noted in cities like Kolkata and Thane, while Mumbai and Navi Mumbai saw declines. Analysts suggest strong demand and investor confidence but note affordability concerns.

In the past fiscal year, new housing projects have seen a weighted average price increase of 9%, according to data from PropEquity, a leading real estate analytics firm.

This uptick is primarily due to rising input costs, including land, labor, and construction materials. Prices soared in major cities, with Kolkata leading at a 29% increase, followed by Thane at 17% and Bengaluru at 15%, while Mumbai and Navi Mumbai experienced declines.

Experts, including Angad Bedi and Bhavesh Kothari, attribute the trend to robust end-user demand and investor confidence, though they caution about affordability issues for first-time buyers.

(With inputs from agencies.)