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Has homebuying become more affordable now?
Mint New Delhi
|December 25, 2025
Buying a home has become more affordable, as financing costs fall and incomes rise.
As per property advisory Knight Frank India's latest Affordability Index, Ahmedabad is the most affordable housing market, followed by Pune and Kolkata. Mint explains how.
How has affordability improved?
India's residential sector has been going strong. Despite rising prices, some cities including Mumbai, the country's most valuable property market, are seeing improving homebuyer affordability. Knight Frank's Affordability Index, which measures the portion of household income spent on equated monthly instalments (EMIS), shows there is a steady improvement across the eight leading cities since 2010. Among the three key parameters of weighted average prices, income levels and mortgage rates influencing affordability, incomes have risen faster than prices. This, coupled with falling interest rates, has boosted affordability.
How do RBI's rate cuts make a difference?
Dit verhaal komt uit de December 25, 2025-editie van Mint New Delhi.
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