Hyderabad real estate sees evolving buyer preferences
Hyderabad’s real estate market closed 2024 with a mix of optimism and caution. While annual home sales registrations grew by 7%, the month of December marked a 20% year-on-year dip, with 5,805 properties registered compared to 7,254 in December 2023. The transaction value in December also declined by 14% to ₹3,590 crore from ₹4,191 crore the previous year. Despite the year-end slowdown, the overall residential market showed resilience, as the annual transaction value rose sharply by 23% year-on-year, signalling steady demand and buyer confidence in the city’s long-term prospects.
The city witnessed a shift towards premiumisation, with homes priced above ₹1 crore increasing their share of total registrations from 10% in 2023 to 14% in 2024. Simultaneously, properties priced below ₹50 lakh accounted for 60% of registrations, a decrease from 68% the previous year. This shift underscores Hyderabad’s evolving buyer preferences, with a growing segment of purchasers seeking higher-value and larger properties. Additionally, mid-sized homes ranging from 1,000 to 2,000 sq. ft. remained the most preferred, contributing to 69% of total registrations.
Sustainability continues to play a critical role in Hyderabad’s real estate landscape. The districts of Medchal-Malkajgiri and Rangareddy emerged as key contributors, accounting for 42% and 41% of registrations, respectively, while Hyderabad city contributed 17%. Urban planners emphasise the importance of integrating green infrastructure and optimising urban spaces, especially in emerging hubs like Medchal-Malkajgiri, to balance the increasing population density and ensure a sustainable urban environment.
Shishir Baijal, Chairman and Managing Director of Knight Frank India, highlighted the changing dynamics in Hyderabad’s real estate market. “Properties valued above ₹50 lakh now represent 40% of registrations, up from 32% in 2023. This upward trend demonstrates the growing aspirations and purchasing power of homebuyers,” he said. While the December slowdown reflects seasonal market fluctuations, the overall growth indicates Hyderabad’s robustness as a real estate destination driven by infrastructural advancements, job creation, and a strong cultural appeal.
