The Hyderabad residential real estate sector is booming. This is evidenced by the 98 percent increase in residential demand in the fourth quarter of 2023. It has registered a growth rate of 49 percent on an annual basis. Also, the supply of new homes increased by 9 percent in the fourth quarter. Growth in supply of new houses has been recorded, especially in micromarkets like Tellapur, Kokapet, and Nanakramguda.
A report by Proptech.com said that 76 percent of the new homes are priced above Rs. 1 crore. Also, property capital values in Hyderabad increased by 10 percent in the fourth quarter of 2023. The average price per square foot is between Rs. 6700 and Rs. 6900. Vikas Wadhavan, Business Head, Proptech.com, said that the 10 percent growth in capital values cemented Hyderabad’s position as a prime investment destination along with other major cities in the country. A lot of residential sales and launches are concentrated along the Outer Ring Road, especially in areas like Tellapur, Kokapet, and Bachupally, said Ankita Sood, head of research at Housing.com and Proptech.com. Looking at the maximum demand seen in 2023, it is believed that this will continue positively in the coming quarters.
