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1、jll.co.inIndia|2022Home Purchase Affordability IndexHome Purchase Affordability Index 2022|230,18333,65637,26134,98238,53339,43036,51128,82827,34610,74314,37221,75028,23019,62533,46346,74651,82553,12156,658010,00020,00030,00040,00050,00060,000Q12018Q22018Q32018Q42018Q12019Q22019Q32019Q42019Q12020Q22
2、020Q32020Q42020Q12021Q22021Q32021Q42021Q12022Q22022Q32022Number of UnitsUnits SoldAverage quarterly salesbetween 2018&2021Indias housing markets have been on an unprecedented upcycle post the first COVID wave,barring the period of Q2 2021 which coincided with the worst pandemic surge.Despite the pan
3、demic,the fundamentals of affordability synergy with historic lows in interest rates and price stagnancy in primary markets amounting to a time correction all were cues for a recovery to play out.The positive push,came from the unlikeliest of sources with the pandemic completely changing the dynamic
4、s around home ownership with homes becoming a safe haven and spurring a largely unforecasted market recovery.The recovery trend since then has resulted in quarterly sales rising to their historic peaks with sustained buying activity supported by most demand drivers still intact to a great extent.We
5、are now entering the territory of a rising interest rate cycle,driven by global macroeconomic headwinds.At the same time,residential markets have displayed price growth of varying strengths across cities with robust demand and cost-push inflation from rising input material prices playing their respe
6、ctive parts.While affordability is likely to be impacted,the momentum-inhibitor looks to be a temporary one with Indias focus on economic growth and likely easing of inflationary pressures expected to reverse the current interest rate growth.While affordability is decidedly weakening,we are still so