Home registrations in Hyderabad dip marginally

Hyderabad: Hyderabad recorded a marginal decline in registration of residential properties at 5,274 units in February 2023 while the total value of properties registered in the month stood at Rs 2,816 crore, says the latest report of Knight Frank India. The registration of home sales eased in February by 3 per cent YoY, while registration revenue collections slightly decreased by 1 per cent YoY. The Hyderabad residential market includes four districts namely Hyderabad, Medchal-Malkajgiri, Rangareddy and Sangareddy.

Registrations in residential units in the price band of Rs 25 – 50 lakh remained highest constituting 51 per cent of the total registrations in February 2023. The share of demand in the less than Rs 25-lakh ticket-size stood at 18 per cent in February 2023, inline compared to same period last year. Greater demand for larger ticket size homes remained evident as the cumulative share of sales registrations for properties with ticket-sizes of Rs 1 crore and above increased to 10 per cent in February 2023 from 8 per cent in February 2022.

In February 2023, the share of registrations in properties sized 500 – 1000 square feet increased to 18 per cent compared to 14 per cent observed in February 2022. While share of properties sized 1,000-2,000 square feet remained highest with a total share of 68 per cent in February 2023, it was lower than the 73 per cent witnessed in February 2022.

Samson Arthur, Senior Branch Director, Knight Frank India said, "Hyderabad's residential market continues to be driven by its diversified workforce and changing socioeconomic environment despite the rising interest rates. The stability in registrations in the Rs 25 – 50 lakh category and the increase in high-value property registrations over the previous year is a clear indicator of the city's upbeat outlook."

At district level, the study shows that home sales registrations in the Medchal-Malkajgiri district was recorded at 43 per cent followed by Rangareddy district at 39 per cent. The share of Hyderabad district in total registrations was recorded at 15 per cent in February 2023.The weighted average prices of transacted residential properties have increased by 3 per cent YoY in February 2023. Sangareddy district saw the steepest rise of 9 per cent YoY in February 2023 indicating higher value homes were sold in this location during this period. Price growth in the Hyderabad market has been strong in recent times with higher value property being sold in February 2023.