Hyderabad is witnessing a rise in overall demand for commercial and residential units alike. As per reports, Hyderabad is steadily regaining its position as one of the premier realty destinations in South India. The city is benefiting from the pro-active, business friendly policies of the State Government, relative political stability, establishment of well-known educational institutions, availability of skilled workforce and better infrastructure. Experts have stated that the growth witnessed by the IT, healthcare and ITeS sectors has definitely created scope for business expansion and newer employment avenues. This is rubbing off positively on the real estate market in Hyderabad. Residential realty has already witnessed growth across several major micro markets and categories.
Hyderabad is also a popular real estate market on account of its comparatively affordable property rates across market segments in comparison to rates across other top Indian metros. Experts feel that residential demand is strong in west Hyderabad due to its sheer proximity to major banking and financial services and IT/ITeS hubs in the city. Areas near major business centres like Gachibowli and Hitech City are steadily coming up as major residential locations. Kukatpally, in particular, has witnessed huge demand from IT and ITeS professionals looking for homes that offer decent amenities. Property prices in Hyderabad have immense scope for future appreciation and commercial segments are also witnessing major activity in recent times.
According to experts, a whopping 93% of total real estate inventory that is being constructed, lies in the western and north-western parts of the city. This includes several prime zones like Kondapur and Hitech City. However, there is an oversupply phenomenon seen in these markets, which is excellent for end-users. There is lower inventory in other zones like the south-western and southern parts of the city, which will benefit in the future since these cover the ITeS and IT investment zone II. PVNR Expressway, Rajendra Nagar and Shamshabad are areas forecasted to witness skyrocketing growth in the future on account of their connectivity and infrastructural development.
Commercial leasing rates have also increased by a whopping 40%-50% across three key micro-markets and residential rates are expected to start increasing soon. This makes it a great time for prospective investors and buyers according to experts. Hyderabad has consistently earned the rating of being one of the best cities to live in India. Hyderabad has already witnessed growth in new project launches and residential unit sales over the last 2-3 years. Several big IT companies and other MNCs are also shifting base to Hyderabad, which is expected to spark growth in the real estate market while the upcoming metro network will also be a shot in the arm for the sector.
