Hyderabad’s real estate market is expanding, with a notable shift towards luxury properties this year. The city has registered more than 54,000 home sales in 2024, marking an 18 per cent year-over-year growth, according to the latest report from Knight Frank India
August highlights
In August, 6,439 residential properties worth Rs 4,043 crore were registered. It was a 17 per cent increase in value compared to the same month last year. While overall registrations grew just 1 per cent year-on-year (Y-o-Y), the surge in value indicates a demand for luxury homes.
Luxury segment gains momentum
Properties priced at Rs 1 crore and above saw a 61 per cent Y-o-Y increase in registrations in August. This segment now comprises 15 per cent of all registrations, up from 9 per cent in August 2023.
“Hyderabad’s residential market is flourishing, particularly in the luxury segment, as more homebuyers seek spacious layouts and premium amenities. This aligns with the broader national trend toward high-end housing,” said Shishir Baijal, chairman and managing director of Knight Frank India in a statement.
Shift in property sizes
The data also reveals a growing preference for larger homes. Properties of over 2,000 square feet now make up 14 per cent of registrations, an increase from 11 per cent in the previous year. Conversely, demand for smaller homes (below 1,000 sq ft) has decreased, dropping from 19 per cent to 17 per cent of registrations.
District-wise Performance
Rangareddy district led the market with 42 per cent of property registrations, showing growth from 39 per cent in August 2023. Medchal-Malkajgiri and Hyderabad districts accounted for 41 per cent and 17 per cent of the total registrations, respectively.
Price trends
The weighted average price of transacted residential properties in Hyderabad saw a sharp 9 per cent year-on-year increase in August 2024. Rangareddy district experienced the most significant price growth at 10 per cent year-on-year.
Luxury property hotspots
The report highlighted that the top five property deals in August 2024 were all located in Banjara Hills, Central Hyderabad. These properties were sized over 3,000 sq ft and valued upwards of Rs 5.3 crore each, with the highest-valued property reaching Rs 7.78 crores.
New launch trends
An analysis of new apartment launches in August 2024 shows a growing demand for 3BHK units, which now constitute 64 per cent of launches, up from 56 per cent in the previous year. Meanwhile, the share of 2BHK units in new launches has decreased from 25 per cent to 20 per cent.
“Backed by strong economic growth and favourable interest rates, buyer confidence is rising. The shift toward higher-value properties underscores the growing preference for upscale living across the city,” Baijal said.
First Published: Sep 20 2024 | 3:25 PM IST
