Investment in New Pucca Residential Building Construction: An Approach to Estimate in Indian Context

In India, the estimate for the Household Sector category of pucca construction is derived as residual. Recently, Reserve Bank of India has proposed the compilation of housing starts in India in collaboration with Ministry of Housing and Poverty Alleviation. This paper is an exploration to the usage of this information to bridge the data gap in the estimation of Gross Fixed Capital Formation in the household construction sector making use of this information. Following the international practices, the estimation of the value of work put in place for new residential houses can be estimated as the product of number of houses started, starting cost and completion level of the project.