Over 18,400 homes registered in Hyderabad in Q1 FY22

Hyderabad: Greater Hyderabad has seen a total of 18,461 sales registration of homes in Q1 2022, as per a report by real estate consultancy Knight Frank India. This was lower by 19 per cent compared to same time last year. The total value of properties transacted in the first quarter is estimated to be Rs 8.67 lakh crore. In March 2022, residential property registrations in Hyderabad stood at 5,707 units worth Rs 2,583 crore. This was a month-on-month (MoM) increase of 5 per cent over February 2022. While there was some rationalisation of home sales in February 2022, when analysed on a MoM basis, the demand is witnessed with registrations returning, especially in the higher value categories. The Hyderabad residential market includes four districts namely Hyderabad, Medchal-Malkajgiri, Rangareddy and Sangareddy.

Almost 75 per cent of residential sales registered during March2022 occurred in the under Rs 50 lakh ticket size category with sales of home in the price band of Rs 25 – 50 lakh constituted 55 per cent. Demand in the less than Rs 25 lakh ticket-size however weakenwith its share constituting 20 per cent as sales registrations in this category reduced to 1,119 units in March 2022 as against 3,473 units in March 2021. The share of sales registrations of all other ticket-size segments stayed stable or have grown marginally in YoY terms in March 2022.

The growth seen in the market shares of the mid and high ticket-size segments is also reflected in the share of sales in various unit size ranges. The share of sales in unit-sizes over 1,000 sq ft maintained its share at approximate 81 per cent of all home sales registrations in March 2022. Of these, homes in the size of 1,000 – 2,000 sft consist of 73 per cent of all sales registered during the period. The trend of homebuyers looking to upgrade and move into larger living quarters, that was sparked by the pandemic, continued to hold strong in March 2022 as well.

A district level study reveals that the Medchal-Malkajgiri's share in total registrations improved to 47 per cent in March 2022 from 40 per cent in March 2021. The Hyderabad district'sshare of the market observed a marginal 1 per cent decline from 14 per cent in March 2021 to 13 per cent in March 2022.

The weighted average transacted price of residential properties, as per the registration data, has grown by 10 per cent YoY in March2022. The area of Sangareddy saw the highest movement of 30 per cent YoY in March 2022 indicating more higher value products were sold in this location. Price growth in the Hyderabad market has been strong in recent times. With more higher value property being sold in March 2022, the weighted average price has shown an uptrend in all micro – markets of Hyderabad.

Shishir Baijal, Chairman and Managing Director said, "For the past several years, Hyderabad had one of the strongest price momentum which in turn depicts demand strength. This was also visible through most of the lockdown, when the market registered significantly higher number of properties. Latent demand for properties as well as other factors like security in employment, growth in house-hold incomes and savings as well as home – loan rates continue to remain attractive for end-users to continue their home purchases."