The value of Hyderabad properties index, surge by 4 pc in the last quarter. Since values are low, there is a swelling number of people upgrading to premium living which has now come within their budgets. As a result, there is vigorous demand for luxury properties in the Rs 45-85lakh category.
Localities close to business districts such as Gachibowli are doing well from the sale and lease activities. Suitability of living is also a factor. Localities that open on to very busy roads such as the Outer Ring road are not performing as well as there is plenty of options available in all areas in the city.
The steady demand has also led to 7 pc growth in values across almost 81 pc localities. Premium properties in Banjara and Jubilee Hills as well as parts of Madhapur posted the maximum increase in rental standards. Reasonable properties close to IT hubs registered a small rise in values. This has also translated into a growing yield from residential real estate investment sector.
At an average of Rs 2,500 per sq ft, it is the least affluent large real estate market in the country. West and East Hyderabad were the most active property markets with both demand and supply concentrated there, thanks to robust economic hubs.
The T-issue concerns have controlled the Hyderabad property market in the past. However, good job predictions and the fact that the city will continue as a joint capital for Andhra and new state Telangana for at least 10 years has affected the consumer sentiment positively. As a result searches and dealings are both in good volume and have impacted the values in a good mood.