With the return of buyers and sellers in full force, the South Indian real estate market has been leading the residential sector by leaps and bounds. The residential real estate sector in South India, specifically Hyderabad, has continuously outperformed other regions, providing strong returns for investors.
From buyers being able to choose from a wide range of housing options to competitive prices and great returns on investments – South India has gone far beyond expectations to provide an amazing property market.
Rapidly Developing Infrastructure
As the residential sector continues to heat up, one specific region is seeing even greater demand and investment than in prior years: South India.
There has been a strong demand for new housing in these rapidly-growing areas. Rising home prices, rents, and low vacancy rates for apartments is evidence of this. Thus, attracting investors to the relatively lower cost of land and construction in Hyderabad compared to other markets around the country.
The rapidly growing infrastructure paired with the growth of economic activities together creates a perfect storm of conditions for development in the Southern region.
Growth of IT Sectors
The least pandemic-impacted sector and a key driving force of growth for South Indian cities’ real estate development is the IT/ITES sector. The growth in the number of IT companies migrating or starting out in the region has powered the sudden rise in housing demand. It’s the techies who occupy a major mid-segment real estate market in Hyderabad, Chennai, and Bangalore, thus adding value to the infrastructure of Southern cities.
As the world’s economy continues to rebound, foreign investors from across the globe are looking to take advantage of the ever-growing real estate market in South India. This is due to the number of options at an investor’s disposal, be it residential projects in Hyderabad or commercial ones in Bangalore, the markets here are still relatively affordable compared to other major metropolitan areas around the globe.
In the foreign investment-powered start-up culture, businesses find it profitable to set up shop in the proximity of MNCs in order to learn, grow, and attract the crème de la crème layer of talent. Furthermore, these locations, such as Hyderabad, Bangalore, and Chennai, already have a well-developed physical and social infrastructure with ultra-luxury homes for the high net worth individuals as well.
As the IT/ITes sector turns its head to the potpourri of culture, food, and climate on offer in South India. The real estate developers in Hyderabad prepare a market that is already well suited for the commercial as well as the residential needs arising from such attention. And while the technology sector expands shop in the region, the demand for real estate also continues to see an uprise from foreign investors which is why we think it’s safe to say that South Indian real estate will lead real estate markets of the country for the year to come.