The NHB RESIDEX is an Initiative of the National Housing Bank (NHB) to provide an index of residential prices in India across cities and over time, and was launched in 2007. The NHB RESIDEX now covers 15 cities and is updated and released on a quarterly basis with 2007 as base year.
The prices of residential properties during the period 2007 to 2011 have witnessed increases in 11 cities with maximum increase in Chennai (166 per cent)
followed by Bhopal (117 per cent), Faridabad (116 per cent),
Kolkata (92 per cent), Mumbai (87 per cent),
Ahmedabad (67 per cent), Pune (63 per cent), Lucknow (60 per cent),
Delhi (54 per cent), Surat (47 per cent), and Patna (43 per cent),
4 cities have witnessed decline in prices with maximum decrease observed in Jaipur (36 per cent) followed by Hyderabad (14 per cent), Bengaluru (6 per cent), and Kochi (2 per cent).
The possible reasons for increase in prices could be overall increase in inflation rate particularly relating to building materials, improvement in infrastructural facilities like metro connectivity resulting in increased demand for housing, favourable political and economic environment, and increased business and employment opportunities.
Economic Survey 2012, pp 86-87