The soaring demand for apartments in Hyderabad is indicative of a flourishing real estate market, where the value of land appreciates very quickly. Land acts as the first deterrent for investors to inflation due to its inherent nature to rise with time. In the first quarter of 2023, despite rising interest rates and home prices, the city witnessed a substantial 19 percent year-on-year (YoY) growth in demand for apartments for sale in Hyderabad. When we talk about the month of August 2023, Hyderabad’s property market witnessed a notable surge in sales, with a 15 per cent YoY and 17 percent month-on-month (MoM) increase. The Knight Frank India’s reported a total of 6,493 residential properties were sold during this period.
Sizes in Demand (4,000- 10,500 sq. ft.)
From January to March 2023, Hyderabad’s residential market remained resilient, with cumulative sales reaching 79,126 units. Notably, the city recorded the highest YoY growth in sales at 19 percent, accompanied by the launch of 10,986 new units, equating to a seven percent YoY increase. The market in Hyderabad attracts a diverse mix of both end-users and investors, particularly from the IT sector, similar to Bengaluru. This consistent demand led to a YoY price appreciation of five percent, with the current average price standing at Rs 4,997 per square foot. (Source: TheHindu)
A prominent trend observed in Q1-2023 was the increased demand for larger homes specifically from the size range of 4,000 sq. ft. to 10,500 sq. ft. and or priced at Rs 10 million and above. This trend aligns with the broader pattern seen in major metropolitan areas, as buyers seek residences with enhanced amenities. Additionally, the percentage of property sales in the Rs 5-10 million range experienced a similar increase. Most sales continue to originate from Hyderabad’s micro-markets in the west and north namely the areas Gachibowli and HITEC City. There is a high demand for housing in all sectors, with gated communities and villa segments experiencing significant growth due to their modern amenities and premium lifestyle offerings. (Source: Zeebiz)
What is Driving This Surge?
Hyderabad’s exceptional quality of life on offer compared to other metropolises contribute to the sustained demand for residential properties in Hyderabad. The other key drivers being the ongoing government initiatives to promote infrastructure development and the presence of prominent IT companies which offer ample job opportunities. Not to forget Hyderabad’s robust social infrastructure, which consists of global educational institutions, healthcare facilities, and recreational centres, is also a significant attraction. Additionally, the city boasts a substantial green cover, good air quality, ample open spaces, and relatively manageable property rates compared to other major cities.
Locations Benefiting from This Surge
Hyderabad’s real estate market is currently experiencing a remarkable surge in demand, with a notable increase in sales and a growing appetite for larger luxury apartments evident through various reports. This trend is reshaping the landscape of the city, making it a hotspot for individuals seeking spacious and opulent living spaces without breaking the bank.
One of the most significant advantages that Hyderabad offers is its affordability compared to major cities like Mumbai and Bangalore. The city allows residents to own more luxury per square foot for the price they pay. This affordability has become a magnet for both IT professionals and individuals looking to elevate their lifestyle.
The demand for luxury apartments is on the rise, driven by the city’s thriving IT sector and the desire for a premium lifestyle. HITEC City, a prominent area in Hyderabad, is leading this revolution towards larger luxury homes. HITEC City has witnessed a remarkable influx of IT professionals who are choosing to make it their residence of choice, given the presence of a IT/ITES business hub. Here, they enjoy the grandest possible living experience, with larger homes that provide ample space for their needs.
On the flip side, areas like Kondapur, Khajaguda, and Patancheru have also gained attention. These neighbourhoods attract buyers with their relatively lower property prices, making them an attractive option for those looking to invest in up-and-coming areas. As Hyderabad’s economy continues to burgeon, these neighbourhoods hold great potential for future growth and property appreciation, making them a smart choice for investors.
The Advantages of Larger Units (Home office + Home Theatre+ Servant room)
Larger residential units, with ample space and versatile room configurations like The Pearl by Auro Realty, give plenty of advantages to homeowners. One increasingly popular trend in modern homes is the inclusion of a home office, home theatre, and a servant room, all of which enhance the living experience.
A dedicated home office space within a larger residence provides residents with the convenience and productivity of working from home. With the rise of remote work, having a quiet and well-designed office can improve focus and efficiency. It also saves commute time and allows for a better work-life balance.
Home theatres are a delightful addition to larger luxury apartments in HITECH City, providing the ultimate entertainment experience within the confines of one’s own home. Equipped with high-quality audio-visual systems and comfortable seating, movie nights, sports events, and gaming sessions all become a memorable affair. They offer a level of convenience and privacy that is hard to replicate in public cinemas.
Creating a dedicated space for household staff fosters a harmonious living environment for both residents and staff members. By designating an area specifically for the household staff to carry out their responsibilities, residents can enjoy the convenience of professional assistance without encroaching on their personal space. This arrangement not only enhances the quality of life for residents but also ensures that the staff can perform their duties efficiently and comfortably. While promoting convenience and cooperation, which results to a more pleasant and balanced coexistence within the household.
These are the conveniences that not only enhance quality of life and comfort but also cater to the evolving needs of modern living, making them a highly beneficial choice for discerning homeowners.
