Hyderabad's property market is growing, and this year has seen a noticeable change in the market toward luxury homes. The city saw over 54,000 property sales in 2024, up 18% from the previous year, according to the most recent Knight Frank India study.
August Highlights
6,439 residential properties valued at Rs 4,043 crore were registered in August. When compared to the same month previous year, the value increased by 17%. The increase in value suggests that there is a demand for luxury residences even if overall registrations increased by just 1% year over year (Y-o-Y).
The Luxury Market is Expanding
August registrations for properties priced at Rs 1 crore and above increased by 61% year over year. Currently, 15% of all registrations are in this sector, up from 9% in August 2023.
"The residential market in Hyderabad is expanding, especially in the luxury class, as more purchasers want for large floor plans and first-rate facilities. This is in line with the larger national trend toward upscale real estate, according to a statement from Knight Frank India's chairman and managing director, Shishir Baijal.
Changes in the Sizes of Properties
Larger homes are becoming more and more preferred, according to the research. The percentage of registrations for properties larger than 2,000 square feet has increased from 11% to 14% this year.On the other hand, fewer people are registering for smaller houses (those under 1,000 square feet), with the percentage falling from 19 to 17.
District-specific Performance
With 42% of property registrations, the Rangareddy district dominated the market, up from 39% in August 2023. Of the total registrations, the districts of Medchal-Malkajgiri and Hyderabad accounted for 41% and 17%, respectively.
Trends in Prices
In August 2024, there was a significant 9% year-over-year increase in Hyderabad's weighted average price of transacted residential properties. The district with the most annual price increases was Rangareddy, where prices increased by 10%.
Hotspots for Upscale Real Estate
The study emphasized that Banjara Hills, Central Hyderabad, was home to the top five real estate transactions in August 2024. These houses ranged in size from over 3,000 square feet to over Rs 5.3 crore each, with the most expensive one reaching Rs 7.78 crores.
New Launch Trends
An examination of newly released apartments as of August 2024 reveals a rising desire for 3BHK apartments, which currently make up 64% of releases compared to 56% the year before. Concurrently, the percentage of newly launched 2BHK apartments has dropped from 25% to 20%.
"Buyer confidence is increasing, supported by robust economic growth and favorable financing rates. The trend toward more expensive real estate highlights the increasing desire for premium living around the city, according to Baijal.
