Hyderabad’s real estate market continues to make waves, with recent data highlighting substantial price increases across multiple areas in the city. According to a comprehensive analysis by ANAROCK, a leading real estate services firm, three prominent localities in Hyderabad have emerged as significant performers in India’s property market. These areas have seen considerable price appreciation over the past five years, underlining Hyderabad’s growing appeal to investors and homebuyers alike.
Among the top ten localities across various Indian cities experiencing notable price escalations, three are from Hyderabad, demonstrating the city’s robust real estate growth. The data reveal that these areas have recorded price increases exceeding 50%, a remarkable feat considering the broader economic uncertainties and market fluctuations that have characterised the real estate sector in recent years. Bachupally and Tellapur are two of the standout regions contributing to Hyderabad’s real estate boom. Both areas have been included in the top ten list of localities showing significant price surges. This surge is indicative of heightened demand and limited supply in these regions, driven by various factors, including infrastructural development, enhanced connectivity, and increasing commercial activity. However, Kokapet has emerged as the leader among Hyderabad’s high-growth areas, recording an astounding 89% increase in property prices from 2019 to the first half of 2024. The average price per square foot in Kokapet has jumped from Rs 4,750 in 2019 to Rs 9,000 in H1 2024. This extraordinary growth reflects Kokapet’s strategic importance and the increasing desirability of the area among property buyers and investors.
Several factors have contributed to this price appreciation in Hyderabad’s real estate market. The city has seen significant infrastructural advancements, including the expansion of metro rail networks and improved road connectivity. Additionally, the influx of IT and business parks has transformed many suburbs into lucrative residential and commercial zones. The development of social infrastructure such as schools, hospitals, and shopping centres has further enhanced these areas’ attractiveness. Furthermore, Hyderabad’s relatively affordable housing market compared to other metropolitan cities like Mumbai and Delhi has attracted a growing number of young professionals and middle-income families. This demographic shift has led to a surge in demand for residential properties, which, coupled with limited new supply in certain areas, has driven prices upwards.
The ANAROCK report also highlights the role of governmental policies in shaping Hyderabad’s real estate landscape. The city’s favourable regulatory environment, including policies encouraging real estate development and investment, has bolstered confidence among developers and buyers. Moreover, the Telangana state government’s focus on enhancing the ease of doing business and ensuring transparent land transactions has further supported market growth. Looking ahead, the outlook for Hyderabad’s real estate market remains positive. With continued infrastructural development and a steady influx of investments, the city is poised to maintain its upward trajectory. For investors and homebuyers, areas like Kokapet, Bachupally, and Tellapur offer promising opportunities for capital appreciation and long-term returns.
