NBH Residex to be extended to 35 cities by April
In order to broad base NBH Residex, an index to track the price movement of real estate, National Housing Bank proposes to extend it to 35 cities by April this year.
By PTI |
NEW DELHI: In order to broad base NBH Residex, an index to track the price movement of real estate, National Housing Bank proposes to extend it to 35 cities by April this year.
"Currently the NHB Residex comprise of price movement of real estate particularly residential housing for five cities which would be extended to to 35 cities by the beginning of the next fiscal" a senior NHB official said.
The index which was launched by Finance Minister P Chidambaram last year and covered Delhi, Mumbai, Kolkata, Bangalore and Bhopal on pilot basis.
Talking about the benefits of the Residex, he said, it helps policy makers to suitably re-orient policy depending on the index movement and also helps lenders in risk assessment.
Besides, it provides authentic figures to real estate developers which helps them to derive the outlook, he added.
He said the index is based on the actual transaction prices and data was collected from real estate agents or property dealers, private builders and resident welfare associations.
The index covered the movement in the real estate prices over the period of five years on the basis of space as well as by size of dwelling unit in each of the five cities.
The year 2001 was taken as the base year for the index to be comparable with the wholesale price-based index and consumer price index.
The index showed doubling of prices since 2001 in four cities except Bangalore, where the rise in prices was almost three times.
"Currently the NHB Residex comprise of price movement of real estate particularly residential housing for five cities which would be extended to to 35 cities by the beginning of the next fiscal" a senior NHB official said.
The index which was launched by Finance Minister P Chidambaram last year and covered Delhi, Mumbai, Kolkata, Bangalore and Bhopal on pilot basis.
Talking about the benefits of the Residex, he said, it helps policy makers to suitably re-orient policy depending on the index movement and also helps lenders in risk assessment.
Besides, it provides authentic figures to real estate developers which helps them to derive the outlook, he added.
He said the index is based on the actual transaction prices and data was collected from real estate agents or property dealers, private builders and resident welfare associations.
The index covered the movement in the real estate prices over the period of five years on the basis of space as well as by size of dwelling unit in each of the five cities.
The year 2001 was taken as the base year for the index to be comparable with the wholesale price-based index and consumer price index.
The index showed doubling of prices since 2001 in four cities except Bangalore, where the rise in prices was almost three times.
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