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There was an average price rise of 10-12 per cent in home prices year-on-year across major cities, according to property consultancy Cushman & Wakefield.
Among individual locations in the high-end segment, Baner in Pune witnessed the highest y-o-y price appreciation of 57 per cent (Rs 8,000 to 10,000 per square foot) followed by central Bangalore at 44 per cent (Rs 18,000 to 28,000) and Gurgaon at 35 per cent (Rs 10,500 to 16,500).
In the mid-end segment, Gurgaon saw a maximum appreciation of 31 per cent (Rs 6,800 to 11,500) followed by Aundh (Rs 6,000 to 7,000) in Pune and South Bangalore (Rs 6,000 to 9,000) at 30 per cent each. Kompali in Hyderabad saw the highest annual correction of four per cent (Rs 3,200 to 4,200).
The average capital appreciation in Bangalore was 11-12 per cent in 2012. However, Kolkata and Hyderabad languished as non-movers with only marginal increases of 2-3 per cent in select areas.
Sanjay Dutt, Executive Managing Director, South Asia, Cushman & Wakefield said, “Developers have consciously reinvented themselves by launching new projects which would appeal to customers in the current economic environment and sentiments.
However, given that most aspects of development such as construction cost, development cost, cost of land, time taken for approval and cost of debt all have been on an upward tangent, developers have not been able to lower cost.”
Northeast Mumbai gains
Mumbai residential prices saw an increase of 13-14 per cent over last year. High construction cost and buoyant investor activities in the market resulted in an upward pressure on capital values across several markets.
South Mumbai logged a seven per cent rise with values ranging between Rs 48,000 to Rs 70,000 a sq ft, while it was 29 per cent higher in north-east of city between Rs 14,000 to Rs 22,000.
Chennai saw the highest increase in prices in the mid-end segment at 16 per cent (Rs 9,000 to 13,000 in Adyar). In the high-end segment, Anna Nagar logged a maximum appreciation of 33 per cent (Rs 12,000 to 14,000) due to revision of circle rates coupled with upcoming infrastructure project.
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