Delhi-NCR Property Boom: HPI Surges Amid High Demand

The Housing Price Index in Delhi-NCR rose by 17 points in December, driven by demand for premium properties. This surge highlights growth but also hints at affordability challenges. The pan-India index showed a four-point rise, indicating stable property markets, backed by robust demand and positive consumer sentiment.

The Housing Price Index (HPI) for Delhi-NCR experienced a notable 17-point increase in December last year compared to September, signaling high demand in the region, as reported by Housing.com and the Indian School of Business (ISB).

This index, a joint endeavor by the aforementioned institutions, measures variations in the selling prices of new homes over time. In December 2024, the HPI recorded 195 points, reflecting a significant rise in property prices in the National Capital Region. The average price per square foot in this region reached Rs 8,105, with the demand for larger premium residences being a key contributor to this price movement.

Dhruv Agarwala, CEO of Housing.com & PropTiger.com, emphasized that while rising prices signal economic growth, they also pose challenges for India's middle class. Despite positive measures like improved tax breaks announced in the Union Budget 2025-26, geopolitical tensions could increase costs. Nationwide, the HPI rose four points since January, supported by strong demand and consumer optimism, according to the report.

(With inputs from agencies.)