Thursday, July 12, 2007 7:11 PM
Chidambaram unveils property index for Bangalore
Delhi: The Housing finance regulator, National Housing Bank has
launched index much like the BSE benchmark Sensex to track the price movement
of real estate particularly residential housing for five cities.
Finance Minister P Chidambaram launched the
index called the NHB Residex for five cities- Delhi,
which will operate on a pilot basis.
"It's a small beginning. It's launched
for five cities. We need national index. It will help in flow of capital (in
real estate)," Chidambaram was quoted by PTI.
The index will cover the movement in the real
estate prices over a period of five years on spatial basis. The index movement
will also largely depend on the size of the dwelling unit in each of these five
The year 2001 has been taken as the base-year
for the index to be comparable with the wholesale price-based index and
consumer price index.
It will show increasing trend of prices in all
the five cities, doubling since 2001 and for Bangalore the rise in prices was almost three
NHB proposes extend the index index to 35
cities having population of more than one million in next six months.
Subsequently, the coverage of the index will
be enlarged to include 63 cities before coming out with nationwide
With excerpts from a PTI report
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