Mumbai Sees Second-Highest Rise in Global Prime Property Prices Amid Strong Demand
Mumbai records second-highest rise in prime residential property prices globally, driven by robust demand for premium properties.
MumbaiPrime Property PricesGlobal Real EstateKnight FrankIndiaReal Estate MumbaiAug 27, 2024
Manila led the way with a 26% year-on-year price growth, followed closely by Mumbai. New Delhi and Bengaluru also saw notable increases, with 10.6% and 3.7% rises in prime residential property prices, respectively. New Delhi moved up to the 3rd position from 26th last year, while Bengaluru maintained its 15th spot.
The premium segment has been the primary driver of sales growth across India, reflecting the increasing affluence and lifestyle aspirations of the wealthy. Shishir Baijal, CMD of Knight Frank India, anticipates that this momentum will continue in 2024, supported by a strong economic outlook.
The Prime Global Cities Index tracks prime residential price movements across 44 cities worldwide in local currency terms. Globally, annual price growth slowed to 2.6% in the second quarter of 2024 from 4.1% in the previous quarter, below the long-term average of 5.3%. While markets like Dubai and Miami, which have experienced significant gains since 2020, have seen moderate growth, European cities such as Stockholm are gaining momentum.
Knight Frank's Global Head of Research, Liam Bailey, emphasized that the future of price growth largely depends on central banks' willingness to cut rates further in the next 12 months. Indian markets, however, remain an exception to this global trend, with continued growth in prime residential prices underscoring the country's expanding wealth and rising aspirations.
About Knight Frank Knight Frank is a global real estate consultancy that provides comprehensive services across residential, commercial, and agricultural sectors. With a presence in over 500 offices across 60 countries, Knight Frank is a leading authority on real estate trends and market analysis.
The Prime Global Cities Index is a quarterly report that tracks prime residential price movements across 44 cities worldwide. The report provides valuable insights into the global prime residential market, highlighting trends and patterns that shape the industry.
Frequently Asked Questions
Which city witnessed the highest rise in prime residential property prices globally?
Manila, with a 26% year-on-year price growth.
What is the Prime Global Cities Index?
The Prime Global Cities Index is a quarterly report that tracks prime residential price movements across 44 cities worldwide.
Which Indian cities saw significant increases in prime residential property prices?
Mumbai, New Delhi, and Bengaluru saw notable increases in prime residential property prices.
What is driving the growth in prime residential property prices in India?
The premium segment has been the primary driver of sales growth across India, reflecting the increasing affluence and lifestyle aspirations of the wealthy.
What is Knight Frank's outlook for the Indian real estate market in 2024?
Knight Frank anticipates that the momentum in the Indian real estate market will continue in 2024, supported by a strong economic outlook.
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