Hyderabad Real Estate Market: Challenges and Opportunities Emerge in 2025
Hyderabad’s property registrations dipped by 16% year-on-year in February 2025, but signs of recovery appeared with a 10% month-on-month increase in registrations and a 13% rise in total registered property value. The market balances structural challenges with changing buyer preferences.
February 2025 Data: A Tale of Two Trends
- Registrations: Fell to 5,900 units in February 2025, down from 7,135 in February 2024.
- Value: Registered properties totalled ₹3,925 crore, a 10% year-on-year decline but up 13% from January 2025’s ₹3,463 crore.
- Premium Segment: Homes priced above ₹1 crore made up 20% of registrations but contributed 51% of total value.
Regional Breakdown: District-Level Insights
| District | Contribution to Registrations | Key Drivers |
|---|---|---|
| Rangareddy | 44% | Proximity to IT hubs and infrastructure projects drive demand for luxury residences. |
| Medchal-Malkajgiri | 41% | Strategic location for mixed-use developments attracts buyers seeking both convenience and affordability. |
| Hyderabad (Urban) | 15% | Concentrated demand for high-value properties in core areas despite competitive pricing. |
Premium Homes: The Bright Spot in a Cooling Market
While overall registrations declined, premium properties moved forward in February 2025:
- Value Growth: ₹1 crore-plus homes saw a 14% year-on-year increase in cumulative value.
- Volume Stability: Registration charges grew 2% year-on-year, outperforming mid-range and affordable categories.
- District Preferences: Medchal-Malkajgiri and Sangareddy emerged as hotspots for high-end buyers.
April 2025 Update: Mixed Signals Persist
Recent data shows registrations fell 12% year-on-year in April 2025, but premium homes retained dominance:
- Value Contribution: ₹1 crore-plus units accounted for 51% of total registered value.
- Affordability Pressures: Mid-range buyers shifted focus to peripheral districts as urban core pricing remains elevated.
Future Outlook: Factors to Watch
- Policy Support: Expectations of revised stamp duty incentives for first-time buyers.
- Infrastructure Developments: Expansion of ORR phases and upcoming metro could boost property demand.
- Interest Rates: Reliance Industries’ decision of pass-through mechanisms in project loans will influence investor sentiment.
Hyderabad’s real estate market navigates a complex environment where premium segments anchor transactions while broader market adjustments persist. Developers may recalibrate strategies to balance high-end offerings with evolving affordability challenges.