India Home Prices to Rise 7% this Year and Next Mr. Sachin Patel, Chief Managing Director, Swaminarayan Group

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Average home prices in India are set to rise 7% this year and next, driven by purchases of luxury properties. Barely dented by the Reserve Bank of India‘s 2-1/2 percentage points of interest rate rises from May 2022 to February 2023, the Indian housing market has powered along with Asia’s No. 3 economy, the fastest growing amongst major peers. Despite the RBI’s efforts to curb inflation with higher rates, a post-pandemic buying frenzy among high-income earners pushed home prices up. But expectations that the central bank will slash interest rates this year should recover affordability. We are channeling our focus towards launching more premium projects, contributing to the challenges faced by the affordable segment.