After a stagnation of few years, Hyderabad real estate market is set to revive both in the commercial as well as residential space. The city was caught in a slump due to the political issues caused by the partition of two states, and the accompanying bifurcation of resources. But after the government’s quick decision on the Telangana issue, there have been many signs of economic and political stability.
The prospects of an improving market environment makes Hyderabad an excellent mid-to-long term property investment destination, especially factoring to the relatively low entry points prevailing now.
Moreover, superior infrastructure, affordability and cosmopolitan ethos have helped Hyderabad score over many other cities which lack these attributes. On the plus side, the government itself has taken several initiatives to boost the real estate market and is determined to make Hyderabad a crown jewel for Telangana with the new initiatives and project developments.
Today as real estate prices are soon to pick up owing to buoyed investor sentiments especially after the influx of FDI and various government initiatives, here are 5 reasons to invest in the City of Nizams:
Low Entry market
Currently real estate prices in the city are quite low if compared to the other metro cities. Real estate prices bottomed out in Hyderabad over the last one year following the political upheaval and the financial slowdown. The low property prices make the entry points relatively low for investors and makes Hyderabad a prospective long term property investment destination.
High levels of unsold inventory
Apart from the political conditions having an impact on the property values, the city also recorded a huge bulk of unsold inventory especially in the western suburbs of Hyderabad, which led to a correction in prices. Given the current situation many developers are willing to negotiate a better deal for the buyer. However, market predictions say that with improving stability in the city, the unsold inventory situation in real estate in Hyderabad will catch up very soon.
Infrastructural developments
Over the past few years, the government has invested heavily in infrastructure development in Hyderabad that has resulted in the Hyderabad Metro, the Nehru Outer Ring Road and the PVNR Elevated Expressway. These key infrastructural developments have contributed to the improved connectivity in the city. The central government has also planned to invest approximately Rs. 1 lakh crore for the development of a SEZ in Gachibowli which is expected to create more than a million job opportunities for new migrants and current residents. As these infrastructural developments continue, real estate prices will see an upward revision.
New growth corridors
The peripheral regions of Hyderabad contain large chunks of developable land, available at affordable prices. The development of the Metro Rail, Outer Ring Road (ORR) and the existing network of MMTS will improve the connectivity and reduce travel time within the city. The regions surrounding the Nehru Outer Ring Road is ready to witness inclusive growth. A good mix of residential and commercial development along this region is aiding to the development of this belt as a future growth-corridor. The region surrounding the International Airport near Shamshabad is leading to an increase in demand for plots in Hyderabad. This market is predominantly being viewed as a fast growing investment destination.
New Projects
Despite the slump in demand, the past year has seen many developers announce a spate of new projects in Hyderabad with many houses for sale in Hyderabad that are suited for buyers across all price ranges. With the economy expected to be more stable, the opportunity to buy a dream home in Hyderabad at affordable price is best right now, before the prices begin to spiral upwards.
