Knight Frank, a global property consultancy, in its ‘Prime Global Cities Index Q3 2021’ report cited that New Delhi moves down one spot in the index to rank 39 in the third quarter of 2021.
Bengaluru moved down one spot up against the previous quarter in the index, to rank 42, as the quarter registered a 1.1% YOY price fall in the prime markets. Prices remained stable in Q3 2021. Mumbai remains in the 40th position in Q3 2021, holding the same rank in the previous quarter, as prices fell marginally by 0.1% YOY. In case of Mumbai too, prices are higher 0.2% QoQ in Q3 2021.
Prime residential property is defined as the most desirable and most expensive property in a given location, generally defined as the top 5% of each market by value. The Prime Global Cities Index is a valuation-based index tracking the movement in prime residential prices in local currency across 45+ cities worldwide using Knight Frank’s global research network.
According to Knight Frank’s research analysis, 39 cities witnessed a rise in prime residential prices between Q2 and Q3 – 2021. Fifteen cities registered double-digit priced growth. The Prime Global Cities Index, an unweighted price index of prime residential prices across 45+ cities, increased by 9.5% in the year to Q3 2021 compared to 8.2% in the year to Q2 2021. According to the report, 84% of the global cities registered positive yearly price growth; while Miami leads the index this
quarter for the first time since 2007 recording 26.4% rise in the year to Q3 2021, Jakarta was the weakest performing market with a decline of – 4.2%.
Shishir Baijal, Chairman and Managing Director at Knight Frank India said, “As India’s economy recuperates from the impact of the pandemic and lockdown, the up-market segment of luxury homes is witnessing a surge in demand. The drivers for this demand are bottoming out of the prices across Indian cities along with various fiscal measures, which has made the overall environment very conducive for the residential sector. As developers and other industry stakeholders hold a positive sentiment, the segment is expect to record improved levels of activity.”