In the last one year, the cost of construction has gone up by 10-12 percent, owing to higher input cost due to supply-side constraints.
The cost of key materials like cement and steel have risen over 20% yearly as of March 2022. These constitute a predominant share in the total cost of construction. So far, developers have been cautious about increasing prices as the market was recovering from the aftermath of Covid-19. However, developers have now feeling the pinch and have begun reviewing their pricing strategy, said a report by real estate consultancy player Colliers.
