Hyderabad registers homes worth Rs 2,237 crore in October: Knight Frank

Near 10% dip in registrations to Rs 27,509 crore since January; units worth Rs 25-50 lakh each constitute 51% of total

Registrations of 4,597 residential property units worth Rs 2,237 crore were recorded this October in Hyderabad, according to a Knight Frank India report.

The city registered 56,003 residential units with a total worth of Rs 27,509 crore since January as compared to registrations of 67,685 residential units amounting Rs 30,108 crore in the same period a year ago.

The Hyderabad residential market includes four districts Hyderabad, Medchal-Malkajgiri, Rangareddy and Sangareddy.

Residential units in the price band of Rs 25–50 lakh constituted 51 per cent of the total registrations in October, an increase of 40 per cent in October, last year, said the report.

However, demand for the ticket-sizes less than Rs 25 lakh weakened and constituted 22 per cent compared to 35 per cent a year ago.

Greater demand for larger ticket size homes remained evident as the cumulative share of sales registrations for properties with ticket-sizes of Rs 50 lakh rose to 27 per cent in October 2022 from 25 per cent last October.

“The rise in home loan interest rate in the last three quarters along with strong headwinds caused by the global geo-political tensions has started affecting the consumers. The Hyderabad market has also been also impacted, though it continues to remain appealing for end users with demand for larger homes remaining promising,” said Shishir Baijal, chairman and managing director, Knight Frank India.

The city which saw a significant rise in demand until mid of 2022, has seen a drop in registration in October. While the lower ticket segment is affected, we expect that the higher value homes will continue to see momentum in the coming months keeping the outlook for the city optimistic, he added.

During the month of October, the share of registrations in the unit category of properties sized 500-1,000 sq ft increased to 21 per cent compared to 17 per cent observed in October during the previous year.

The report said the share of properties sized 1,000 sq ft or higher dipped from 81 per cent in October 2021 to 76 per cent in October last year.

Moreover, at district level, the study shows that home sales registrations in the Medchal-Malkajgiri district was recorded at 46 per cent followed by Rangareddy district at 36 per cent. The share of Hyderabad district in total registrations was recorded at 14 per cent in October, said the report.

The weighted average prices of transacted residential properties as per the registration data has grown by 12 per cent year-on-year in October, it added.