International Monetary Fund
NEW DELHI: Is India's real estate bubble finally bursting? The International Monetary Fund's recently-launched data series on global housing prices hints at that. Among 52 major markets for which IMF has collated house price data, India has witnessed the steepest fall.
IMF's calculation on the annual percentage change in property prices shows that prices in India fell by 9.1 per cent, the highest among major real estate markets. The fall is even worse than in countries struggling with the ongoing European Union's financial crisis. Property prices in Greece, Italy, Cyprus, Spain and Portugal have all come down, but at a much slower rate. Ireland, on the other hand, registered a 4.3 per cent increase in housing prices.
Prices came down by 7 per cent in Greece, 6.5 per cent in Italy, 4.9 per cent in Spain and 3.3 per cent in Portugal. The annual change is calculated for latest available data or prices for the last quarter of 2013.
The data shows that there is an overall improvement in the global real estate market as prices are going up in a majority of countries. Of the 52 countries for which data is available, 33 have witnessed increase in prices, while property has become cheaper in 19.