In a striking ascent on the global real estate stage, India has leaped 18 spots to secure the 14th position in the prestigious Knight Frank Global House Price Index for Q3 2023. This achievement is underscored by a substantial 5.9% year-on-year surge in home prices, illuminating the resilience and dynamism of the Indian real estate market.

Unveiling the Numbers:

Amidst global economic nuances and mounting debt costs, the average house prices across 56 markets monitored by Knight Frank’s Global House Price Index saw an impressive 3.5% year-on-year growth in September 2023. This marks a notable uptick from the preceding quarter’s 2.2%.

India’s Growth Story:

The surge in India’s residential market, defying higher home loan rates and inflation concerns, is attributed to stable economic growth. The nation’s response to the pandemic, characterized by government incentives to homebuyers, catalyzed market acceleration and heightened sales.

Shishir Baijal, Chairman, and Managing Director of Knight Frank India, emphasized that the increased interest cost environment, alongside robust economic fundamentals and aspirational attributes of residential real estate, is propelling heightened demand among homebuyers in key markets within the country.

Global Landscape:

Despite rising interest rates globally, the annual growth in house prices perseveres at 3.5%, approaching pre-pandemic levels. Turkey maintains its leading position in the rankings, showcasing an annual increase of 89.2%. The resilience of global house prices is attributed to strong savings, above-inflation pay settlements, and a low supply of stock for sale.