Hyderabad Housing Demand Shifts Towards Higher Value Homes

Hyderabad’s residential market recorded fewer registrations in August, even as the value of transactions showed greater resilience. The shift points to a market adjusting after Telangana revised property guidance values in June, with higher-value homes accounting for a larger share of transaction value. For buyers, the trend also highlights how changes in official property valuations can influence registration activity and housing affordability. 

A total of 5,937 homes were registered across the Hyderabad market in August, down 9% from a year earlier and 4% from July. Their combined transaction value stood at ₹4,576 crore, representing a 2% annual decline but a 3% monthly increase. The data covers Hyderabad, Medchal-Malkajgiri, Rangareddy and Sangareddy, across both primary and secondary housing markets.  The slowdown was visible across every major price bracket. Registrations of homes below ₹50 lakh fell 12% year-on-year, while the ₹50 lakh–₹1 crore category declined 5%. Registrations above ₹1 crore dropped 8%. Yet the higher-value segment is gaining weight in monetary terms. Properties priced above ₹1 crore accounted for 22% of August registrations but generated 54% of total transaction value, compared with 51% a year earlier. Their transaction value increased 2% year-on-year. 

Average prices also moved higher. The weighted average transaction price rose 8% year-on-year to ₹4,964 per sq ft in August. Homes between 1,000 and 2,000 sq ft represented 66% of registrations, while properties larger than 2,000 sq ft accounted for 18%.  The latest numbers should be read alongside the state’s revision of property guidance values, which took effect on 5 June. Registration activity surged before the change and then corrected sharply in June, creating a more uneven pattern through the following months.  Despite August’s decline, the broader Hyderabad housing market remained positive during the first eight months of 2026. Registrations reached 50,095 units, up 2% year-on-year, while transaction value rose 6% to ₹35,423 crore.

The changing mix has an urban dimension. Rising transaction values alongside softer volumes can indicate that market activity is becoming more concentrated in expensive housing, while lower-ticket buyers face greater sensitivity to acquisition costs. That matters for Hyderabad as new development expands towards outer districts and infrastructure investment reshapes land values.For the Hyderabad housing market, the coming months will show whether registration volumes stabilise after the valuation reset. The key urban measure will be whether new housing supply continues to serve a broad range of households while keeping transport, water, drainage and other essential infrastructure aligned with growth.

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Hyderabad Housing Demand Shifts Towards Higher Value Homes