Hyderabad: Real estate in Hyderabad has witnessed a significant increase in property rates due to a demand-supply mismatch, according to the Magicbricks PropIndex Report (January – March) 2023. The report revealed that residential demand in Hyderabad grew by 6% QoQ while supply decreased by 14.2% QoQ, resulting in a 5.8% QoQ increase in property rates. The localities of Gachibowli, Miyapur, and Kondapur in western Hyderabad experienced the highest residential demand due to their proximity to the Nehru ORR and major employment hubs.
The demand for mid-segment properties (Rs 5000-7000 per square feet) has been increasing, accounting for approximately 50% of the demand and supply in the city. With a continued preference for spacious homes, 2 and 3BHKs commanded 90 percent of the total demand in the city.
Elaborating on the trends of real estate in Hyderabad, Sudhir Pai, CEO of Magicbricks commented, “Several multilateral agencies have projected that the Indian economy will grow by 6-7% in FY’ 23, despite the global slowdown. The recent Union Budget has also introduced several encouraging initiatives, including substantial allocations to PMAY and UIDF, which have set the wheels in motion for facilitating employment opportunities and infrastructure development. Given the under-served demand for home-ownership in the affordable and mid-range segment, we are optimistic about the growth trajectory for residential demand in the coming quarters as well. We anticipate that the market will stabilise, supplemented by new projects and expedited delivery of under-construction properties, which will open up new avenues for investment and innovation.”
The report also highlighted that Mehdipatnam (4.27%), Police Colony- Kondapur (3.96%), and Balanagar (3.75%) experienced the highest increase in prices QoQ, while prices in Banjara Hills (-3.94%), Boduppal (-3.77%), and Nanakram Guda (-3.39%) decreased QoQ.
