Hyderabad, May 21:Across eight major cities in India, Hyderabad has reported the maximum increase of 39 per cent year-on-year in housing sales during January-March period of this calendar year despite the COVID-19 pandemic, PropTiger.Com , a leading online real estate brokerage firm said in its recent research report.
The hi-tech city also has the lowest inventory overhang (time required to liquidate unsold inventories) of 25 months despite a sharp rise in new supply.
Over the past few years, Hyderabad’s residential property market, which was affected during the bifurcation into the two states of Andhra Pradesh and Telangana, has witnessed a steady growth in terms of sales, launches and price appreciation. The trend has continued in the first quarter of the 2021 calendar year, the report revealed.
As per PropTiger.com recent research report “Real Insight – Q1CY21”, housing sales in the IT city increased by 39 per cent to 7,721 units in January-March this year from 5,554 homes sold in the corresponding period in the 2020 calendar year.
The rise in demand was mostly driven by prominent localities of Hyderabad West like Sangareddy, Bachupally and Kompally, it said.
In value terms, builders sold properties worth INR 8,400 crore during Q1 2021, up by 34 per cent from the same period last year, the report stated.
“The pro-business state government policies, such as the T-iPass and the ICT Policy, have provided ease of doing business, the effect of which has trickled down to the real estate market,” the report said.
However, on the supply side, Hyderabad saw a jump of 95 per cent in new launches to 7,604 units in the first quarter of this calendar year.
It was observed that the maximum new supply was concentrated in the localities of Nallagandla and Kompally.
Nearly 49 percent of the new supply was concentrated in the more than INR 75 lakh price bracket in January-March 2021. Units priced between INR 45–75 lakh had a share of 40 percent in overall launches.
The share of units with 2BHK configuration has increased to 48 per cent in Q1 2021 from 28 percent in the same period in the previous year.
“The primary residential market of Hyderabad performed very well during the first quarter of 2021 calendar year and has surpassed the pre-COVID sales numbers,” said Mani Rangarajan, Group Chief Operating Officer of Housing.com, Makaan.com and PropTiger.com.(UNI)