REG NEWS
Hyderabad's residential market is showing signs of recovery after a prolonged slowdown, supported by improving buyer sentiment and a growing inventory of completed housing projects. Mid-segment housing continues to drive demand, with developers expecting market activity to strengthen over the coming months.
Compared to last year, housing sales have improved by nearly 2.5 times. Quality enquiries and site visits have picked up, and buyers who earlier took four to six months to close a deal are now doing so within a month. We expect the market to improve further over the next three to six months, said Ch. Ramchandra Reddy, Managing Director and founding partner of RV Nirmaan.
The improving market has also been supported by a larger inventory of Occupancy Certificate (OC)-approved projects, allowing buyers to take possession immediately instead of waiting for construction to be completed. According to Ramchandra Reddy, demand remains strongest for 2 BHK homes priced between Rs. 75 lakh and Rs. 1 crore, while 3 BHK apartments priced up to around Rs. 1.5 crore and villas in the Rs. 2.5 crore to Rs. 3.5 crore range are also witnessing healthy demand. However, homes priced above Rs. 1.5 crore continue to account for only a small share of overall transactions.
Speaking about the company's portfolio, the Managing Director said Vijay RV Sai Vanamali in Miyapur has received the Occupancy Certificate (OC) for Phase I, with more than one-third of the homes already occupied. Silpa's RV Vibhuman in Kondapur is expected to be handed over by Dasara, while RV Uddiipta at Karmanghat is ready for occupation. He added that RV Krishang at Raviryala near Tukkuguda, RV Isira at Kismatpur and DRJ's RV Dharanitha at Bogaram, near Keesara, are at various stages of development.
Reddy noted that developers continue to face rising construction costs due to higher labour charges and increased prices of building materials such as copper, cables, UPVC, CPVC and other construction inputs. He added that while steel and cement prices have stabilised, the overall cost of construction has risen by nearly 20 per cent, adding pressure on ongoing projects.
On future growth corridors, Ramchandra Reddy said Hyderabad's western market is expected to continue its steady growth, while the southern corridor around Tukkuguda holds stronger long-term growth potential due to its proximity to the airport, Electronics Manufacturing Clusters (EMC), Bharat Future City and the proposed AI City. He added that the area's growth will depend on the timely development of supporting infrastructure and social amenities.
As CREDAI National Joint Secretary, Reddy called for greater clarity in the GST regime, a streamlined single-window approval system integrating all government departments, and a rationalisation of stamp duty and registration charges to reduce the overall cost of home ownership. He said such reforms would improve the ease of doing business for developers while making housing more affordable for end-users, particularly middle-income buyers.
Expressing confidence in the market, Ramchandra Reddy said Hyderabad continues to lead the country in high-rise residential development, with strong commercial expansion and employment generation supporting residential demand.