The urban population in Telangana is growing rapidly, with Hyderabad witnessing the highest increase among all cities in the country. According to the National Population Report, it was predicted two years ago that by the end of 2025, Hyderabad would be among the top 35 cities in the world with the highest population. This rapid population growth is expected to lead to a significant demand for housing in the coming years, according to real estate experts. As demand for homes increases, property prices are expected to rise. Therefore, experts recommend purchasing a home as soon as possible to take advantage of the current market conditions.
Urban and city populations are increasing rapidly across the world, and this trend is reflected in India as well, particularly in Telangana. People are migrating from villages to urban areas in search of better education, employment, and economic opportunities. As a result, villages are becoming vacant, while cities are growing increasingly populated. In India, 35.1% of the total population currently lives in urban areas, with Telangana having a higher urban population at 47.6%. According to the National Population Report 2023, it was predicted two years ago that by 2036, the urban population in India would rise to 39.1%, while in Telangana, it would increase to 57.3%.
This represents an extraordinary growth rate of 18% for Telangana’s urban population, the highest in the country. In 2014, Telangana’s urban population was at 39%, but by the end of 2023, it is expected to rise to 47.61%. By the year 2025, Telangana’s urban population is projected to reach 50%, reflecting a significant shift towards urbanisation.
In Telangana, the percentage of urban and city populations has been increasing every year. In this context, it is estimated that by the end of this year, more than half of Telangana’s population will be living in urban areas. The urban population percentage in Telangana is 12% higher than the national average. Over the past eleven years, a significant 8.61% of the population has migrated from villages to urban areas. This trend is expected to continue growing by the end of this year.
More importantly, cities like Hyderabad, Warangal, and Nizamabad are anticipated to witness a significant increase in their population growth rates. The population of Hyderabad is expected to exceed 10 million by the end of this year, and it is predicted to make its way into the top 35 cities in the world with the highest population.
Along with the districts of Telangana, people from neighbouring northern states like Bihar, Maharashtra, Karnataka, Uttar Pradesh, and several northeastern states are also migrating to Hyderabad in search of employment and job opportunities. With this rapid urbanization, the Telangana government has focused special attention on improving infrastructure in Hyderabad. Over the past decade, the state has spent around Rs 1.21 lakh crore on urban development. With these funds, essential infrastructure like roads, public transportation, drinking water, and sewage treatment systems have been developed. However, experts say that in the coming days, there will be a greater need to improve the infrastructure of cities like Hyderabad even further.
As the population of Hyderabad grows, the demand for residential properties is expected to increase significantly. Currently, the city sees around 30,000 home sales annually, and this is expected to gradually rise in the future. However, real estate experts warn that with the increase in demand, prices could rise significantly as well. Considering factors like increasing land prices, construction costs, and labour expenses, it is expected that home prices in Hyderabad will rise in an unpredictable manner over the next two years. Therefore, those planning to settle in Hyderabad are advised to explore home-buying options around areas like the Outer Ring Road and the proposed Regional Ring Road, in accordance with their budget, say real estate experts.
