Hyderabad Real Estate Market: Premium Homes Dominate Despite Dip in Overall Registrations

Hyderabad’s real estate market showcased a notable trend in November 2024 as buyer preferences leaned heavily towards premium and spacious homes, even as overall residential unit registrations dropped. The city registered 5,516 residential units in November, marking a 12% year-on-year (YoY) decline and a 6% decrease month-on-month (MoM).

Shift Towards Premium Properties

High-value homes emerged as a key growth segment, reflecting a shift in buyer aspirations driven by economic stability and lifestyle improvements. Properties priced above Rs 1 crore constituted 14% of total registrations, up from 12% in November 2023.

Conversely, the share of properties priced under Rs 50 lakh declined from 61% in November 2023 to 58% in November 2024, while homes in the Rs 50 lakh to Rs 1 crore range saw a slight uptick, accounting for 28% of total registrations compared to 27% the previous year.

Demand for Spacious Homes

Demand for larger homes also remained robust, with properties ranging between 1,000 and 2,000 sq. ft. dominating 69% of registrations. Although this figure represents a slight dip from 71% in the same period last year, properties exceeding 2,000 sq. ft. grew in popularity, making up 14% of registrations.

District-Wise Performance

Among Hyderabad’s districts, Medchal-Malkajgiri led with a 42% share of total registrations, followed closely by Rangareddy at 41%. Hyderabad district saw its share rise from 14% in November 2023 to 17% in November 2024.

Rising Property Prices

The weighted average price of residential properties in Hyderabad rose by 6% YoY in November 2024. Medchal-Malkajgiri recorded the highest price growth at 11%, followed by Hyderabad district at 10%, while Rangareddy saw a modest 1% increase.

Noteworthy Transactions

Luxury homes remained a highlight, with properties exceeding 3,000 sq. ft. transacting in prime locations like Somajiguda, Banjara Hills, and Jubilee Hills. The highest-valued transaction for the month was a property in Somajiguda, priced at Rs 10.22 crore.

Also Read: Real estate investments in India reach historic high at $8.9 billion in 2024: JLL

Expert Insights

Shishir Baijal, Chairman and Managing Director of Knight Frank India, commented,

“Overall property registrations in Hyderabad moderated in November 2024, but demand for high-value homes remains robust, registering a 3% YoY increase. Buyer preferences are shifting toward larger, premium properties priced above Rs 1 crore, reflecting a growing inclination for luxury living driven by strong economic fundamentals and aspirations for enhanced lifestyles.”

Market Overview: January-November 2024

From January to November 2024, Hyderabad registered a total of 70,796 residential units, marking a 12% YoY increase. The total transaction value during this period stood at Rs 43,574 crore, representing a 27% YoY growth.

Despite periodic fluctuations in sales volumes, Hyderabad’s real estate market remains resilient, particularly in the high-value segment. The city continues to attract buyers looking for luxury and larger living spaces, underlining robust confidence in its economic prospects.