The month of August saw Hyderabad recording registrations of 5,181 units of residential properties with the total value of properties transacted during the month standing at Rs.2,658 crore.
Knight Frank India in its latest assessment released on Wednesday pointed out that the registration of residential units went up by 20 per cent month-on-month after witnessing a decline in the previous months on account of Asadha Masam, considered less auspicious for new embarkings.
The Hyderabad residential market comprising the districts of Hyderabad, Medchal-Malkajgiri, Rangareddy and Sangareddy, while continuing to experience robust demand trends, since the beginning of the year has observed sales of 46,078 residential units with a total worth of Rs 22,680 crore.
Price Band:
According to Knight Frank India report, the residential units in the price band of Rs.25 lakh to Rs.50 lakh constituted 55 per cent of the total sales in August 2022, which is an increase from a share of 37 per cent in August 2021. The demand in the less than Rs.25 lakh ticket-size however weakened with its share constituting 16 per cent compared to 35 per cent a year ago.
The greater demand for larger ticket size homes remained evident as the cumulative share of sales registrations for properties with ticket-sizes of above Rs 50 lakh increase to 29 per cent in August 2022 from 28 per cent in August 2021.
Segment:
The segment of sales in unit-sizes over 1,000 sft maintained its share at an approximate 83 per cent of all home sales registrations in August 2022. Homes in the size of 1,000 – 2,000 sft. were 72 per cent of all sales registered during the period.
The Knight Frank India report underscores that the trend set during the pandemic by consumers to upgrade their property and move into larger living quarters, continued to hold strong in August 2022 as well.
District Level:
At district level, the study shows that home sales registrations in the Medchal-Malkajgiri was recorded at 44 per cent followed by Rangareddy district at 38 per cent. The share of Hyderabad district in total registrations was recorded at 14 per cent in August 2022.
The weighted average prices of transacted residential properties as per the registration data has grown by 9 per cent Year-on-Year (YoY) in August 2022. Sangareddy district saw the steepest rise of 38 per cent YoY in August 2022 indicating more 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 August 2022, the weighted average price has shown an uptrend in all micros – markets of Hyderabad.
Shishir Baijal, Chairman and Managing Director, Knight Frank India said August 2022 witnessed an increase of 20 per cent MoM in both residential registrations as well as state earnings from home registrations, while observing a reduction of 36 per cent on YoY basis.
“Despite the impact of external factors including an increase in interest rates and price, the Hyderabad residential market continues to experience robust demand trends. Going ahead, we expect home demand to remain stable as end-users continue to be drawn to home purchases backed by job security, rising household incomes and savings,” he added.