Hyderabad property market is showing remarkable resilience and the demand situation is not only holding up but actually is consolidating. However, subtle changes are taking place in this market, as per our detailed analysis of demand data in the period July-December 2021.
Before we discuss that let us see what trends are getting stronger in Hyderabad Property Market.
We can clearly witness that the preference for 3 BHK homes (59% of the total demand) are predominantly preferred in Hyderabad, barring a few exceptions, although demand for 2 BHK homes is still substantial (37% of the overall demand).
As far as the size of the flats goes, 3 segments rule the roost now. 1000-1200 sq. ft. flats have 17% of the overall demand while 1200-1500 sq. ft. flats constitute 28% of the total demand. However, 1500-2000 sq. ft. flats have the highest percentage with 31% of the overall demand.
The Power of 4
In terms of the number of total enquiries for new apartments, top 2 zones are Moti Nagar (27% of all enquiries) and Kondapur White Fields (28% of all enquiries) followed by Bachupally (16% of all enquiries) and Ameenpur (15% of all enquiries).
Budget wise, 4 major budget segments command 87% of the overall demand. Among these segments, apartments costing between Rs 1.01 cr and Rs 1.5 cr dominate with 36% of the overall demand. The other 3 segments are Rs 71-80 lakh (19% of overall demand), Rs 81-90 lakh (17% of overall demand), and Rs 91 lakh-1 cr (15% of the total demand).
Let’s now see which areas contributed the most in these budget segments.
Budget Range vs. Areas — How they Stack Up
We will now witness the share of different areas in overall demand according to the budget segments.
In the case of apartments priced between Rs 71-80 lakh range, Bachupalli dominates the demand with 34% share, whereas Moti Nagar (28% of overall demand) and Ameenpur (23% of the overall demand) are other major contributing areas. Together they constitute 85% of the total demand in that budget range.
Now, let’s look at the Rs 81-90 lakh budget range and the corresponding shares of different locations in it. Here, Moti Nagar dominates the demand share with 37%, while Bachupalli (23% of overall demand), Ameenpur (20% share), and Kondapur White Fields (14% share) are the other major demand generators. These 4 locations share 94% of the overall demand between themselves.
Interesting, isn’t it?
In fact, the power of 4 is again evident.
The next budget range Rs 91 lakh-1 cr is also quite interesting.
4 locations, Moti Nagar (35% demand share), Kondapur White Fields (29% demand share), Ameenpur (18% share of total demand), and Bachupall (16% demand share) together constitute 98% of the total demand in this range.
In the case of the budget range of Rs 1.01 cr-1.5 cr, 4 locations dominate the share of the overall demand. Together, they corner a whopping 94% among them.
47% of the total demand is raised from Narsangi, while 29% of the demand is raised from Gachibowli. Moti Nagar (11% of total demand) and Kukatpalli (7% of the total demand) are the other 2 major locations contributing in this budget range.
Let’s Deep Dive in Specific Locations
If we further dive into the demand data of specific locations, we will again observe some interesting patterns of home-buyers’ preferences.
Let’s start with Moti Nagar, then.
62% of the homebuyers’ demand is for 3 BHK homes while 36% prefer 2 BHK homes.
Budget wise, 4 budget segments corner 90% of the total demand in Moti Nagar.
Area wise, 3 segments corner 91% of the overall demand.
Kondapur White Fields
60% of the demand is for 3 BHK homes while 36% of all home-buyers prefer 2 BHK homes.
Noticeably, a whopping 56% of the overall demand at Kondapur White fields is for homes priced between 1.01 cr and 1.5 cr.
Although 1501-2000 sq. ft. homes have the highest demand share of 27%, homes of other size ranges have also good demand.
Significantly, 7% of home-buyers prefer 4 BHK homes in Bachupally but 51% of home-buyers prefer 3 BHK homes.
Although 40% of demand comes from Rs 71-80 lakh budget segment, 4 segments in total constitute 93% of the overall demand.
Area wise, 4 segments together constitute almost all the demand. 901-1000 sq. ft. (13% share), 1001-1200 sq. ft. (28% share), 1201-1500 sq. ft. (33% share), and 1501-2000 sq. ft. (22% share) lap up 96% of the overall demand.
The demand share for 3 BHK homes is 53% while that of 2 BHK homes is 45%.
87% of the overall demand is captured by only 4 budget segments in Ameenpur. 30% share is captured by Rs 71-80 lakh segment, 23% share is captured by Rs 81-90 lakh segment, 18% share is captured by Rs 91 lakh- 1 cr segment, while 30% share is captured by Rs 1.01 – 1.5 cr segment.
Area wise, only 3 segments captured 91% of the total demand.
There is a unique observation in the case of Gachibowli. The demand share for 3 BHK homes is 82% while that of 4 BHK homes is 13%. Only 5% of home-buyers prefer a 2 BHK apartment here.
A compelling observation, right?
Let’s find out some more data insights.
66% of the total demand is from Rs 1.01-1,5 cr segment. Another 26% of the total demand is from Rs 1.5-2 cr segment.
And 45% of the demand is for 1500-2000 sq. ft. homes.
The Long and Short of It
Hyderabad property market is quite sturdy. However, there are subtle changes in some of the micro-markets. We will keep an eye on these trends and inform you in the future how these trends shape up.