Hyderabad’s ever expanding luxury real estate market appears to be charting an upward trend by selling houses like hotcakes; a 300% increase over the same period last year. Such a percentage increase over just few years, might make you curious about “What’s Driving Hyderabad’s Real Estate Boom?”
To truly transform Hyderabad into a global city, the government has been thoughtfully launching initiatives and taking proactive measures. A variety of laws are being enacted to make doing business easier. The ‘Telangana State Industrial Project Approval and Self-Certification System’ (TS-iPASS) Act is a step in that direction, introducing legislation to foster a business-friendly environment that will boost Hyderabad’s reputation as an investment destination. Apart from other industries, the Hyderabad real estate market is expected to benefit from TS-iPASS, as the Telangana government is working hard to implement a single-window approval system for the real estate sector as well. Pro-business policies, like T-iPass and ICT Policy, have aided the real estate market.
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Other factors influencing the real estate boom include:
Rapid Infrastructure Developments
In terms of developing Hyderabad’s infrastructure, the Telangana government’s outlook is clear. On the connectivity front, the Jawaharlal Nehru Outer Ring Road is being built along the same lines as Beijing’s 8 bangles ring road, which will allow people to travel within and outside of city limits in minutes. The recently launched metro rail project also has high hopes for connecting the city’s eastern and western ends, which are home to SEZs, industrial corridors, and IT hubs.
Infrastructural factors in Hyderabad are prodding just the right amount of price growth. Investors will continue to bet on Hyderabad real estate because of planned infrastructure developments. The Hyderabad Metro rail project has unquestionably changed the game, with a 56-kilometer operational stretch, it has become India’s second-largest Metro Rail network, trailing only Delhi. As it expands its network in the city (the Hyderabad Metro is expected to carry up to 22 million passengers per day by 2024), and it will also have an impact on emerging neighborhoods. While the actual value of the property in such areas has begun to rise, their rental value will increase as soon as a Metro link is operational.
Blue-chip and multinational corporations’ presence
The corporate world adores Telangana’s capital city. Aside from Indian blue-chip firms such as Tata Consultancy Services Limited, Infosys, and Wipro, global behemoths such as Amazon, Microsoft, Apple, Google, and Capgemini are expanding their presence in Hyderabad. Adobe Systems, an American multinational computer software company, has recently expressed interest in establishing an artificial intelligence center in the ‘City of Pearls.’ With employees arriving in Hyderabad from all over the world, the city’s residential market is set to boom. To meet this demand, real estate developers are actively working to add new stock to the existing inventory. To entice more investors, developers have begun to offer Apartments for Sale in Hyderabad, Villas for Sale in Hyderabad, Gated Community Villas in Hyderabad, and Plots for Sale in Hyderabad.
Property at a Reasonable Price
In comparison to other major cities in the country, property prices in Hyderabad remain affordable. Though property prices in Jubilee Hills, Banjara Hills, and the CBD are relatively high, new and upcoming areas such as Kukatpally, Miyapur, and Gachibowli provide excellent investment opportunities. Hyderabad’s growing population keeps the demand for residential units high and optimistic.
According to a 2017 report, when the real estate market across the country was reeling from the effects of demonetization and the Goods and Services Tax (GST), Hyderabad saw an increase in sales as well as new residential unit launches. Property prices in areas such as Kondapur, Gachibowli, and Hitech City have increased by 5% to 10% in the last two years. According to industry analysts, the Telangana state government’s infrastructure push will continue to drive the Hyderabad real estate market, which is expected to increase by at least 10% year on year.
Hyderabad’s Quality of Life
The city’s growing popularity could also be explained by the fact that the quality of life in Hyderabad is among the best in India. It distinguishes itself by having low living costs. The city welcomes everyone who wishes to visit this place. It is the ideal blend of old-world charm and culture reminiscent of the royal Nizami dynasty and the fast-paced life of any aspiring professional. People in this area speak Hindi, Telugu, Urdu, and English. Therefore, communicating is very simple, and you will have a wonderful life here.
In the Old City, you can get lost in lore and revel in the beauty of the past, whereas in the same city, there are skyscrapers for software professionals in Gachibowli. If you ask me, I’d rather go to Lumbini Park which is in the heart of the city and admire the Buddha Statue in Hussain Sagar Lake against the backdrop of a beautiful sunset.
NRI expressing interest
Since people spent more time at home as a result of the pandemic, the value of owning a home was re-established. Developers have increased their inventory of luxury properties to meet the demand generated by the city’s burgeoning IT sector and hyper-urban lifestyle. The depreciating rupee, combined with ongoing discounts and offers, has made luxury properties more appealing to NRIs, who have been on the sidelines since policy reforms in the Indian real estate market.
Residential segments such as luxury and premium housing may see an increase, making Hyderabad one of the most appealing cities in the country for NRI investments. The development of the Outer Ring Road (ORR), which has aided the surge in demand for luxury real estate in the city, is a critical factor. Furthermore, with work-from-home becoming the new norm, homebuyers are increasingly seeking more luxurious and accommodating homes that can meet their new requirements and developers have made it more convenient by offering Villas for sale in Hyderabad and Gated community villas in Hyderabad.
So, if you’re looking to invest in real estate and are looking for the right market, Hyderabad is the gold mine!