Houses most affordable in Chennai, Ahmedabad, and Kolkata.
In Mumbai and Delhi, they are more expensive.
Chennai, Ahmedabad, and Kolkata are emerging as the go-to addresses for affordable housing. In contrast, the Mumbai Metropolitan Region and Delhi are known for their high housing costs. These insights were recently revealed in a report by PropTech firm Magicbricks. The report analysed housing prices across major cities in the country.
The report noted that the ratio of house price to annual income (PI ratio) was 6.6% in 2020 and has increased to 7.5% in 2024. This means that it would take approximately seven and a half years of income to afford a home. The PI ratio in Chennai, Ahmedabad, and Kolkata is 5, indicating that housing prices are more affordable there. In contrast, the ratio is 14.3 in Mumbai and 10.1 in Delhi, reflecting higher housing costs.
Additionally, the EMI to monthly income ratio was 46% in 2020 but has risen to 61% by 2024. This means that EMI payments now account for 61% of monthly salaries. The EMI ratio is 82% in Delhi, 116% in MMR, and 61% in Hyderabad and Gurugram. In Ahmedabad and Chennai, the ratio is 41%, and in Kolkata, it stands at 47%.
