Hyderabad’s Real Estate Market: Emerging Growth Hubs in Northern & Southeastern Areas

Hyderabad's Real Estate Market: A Story of Unfolding Growth and Emerging Opportunities

Hyderabad's real estate market is experiencing a transformation, with the city's infrastructure development paving the way for a bright future. While the potential for growth spans the next 10 to 15 years, there's some hesitation among customers regarding the market's direction. To understand this landscape more clearly, we turn to V. Rajashekhar Reddy, President of CREDAI Hyderabad, who sheds light on the opportunities and challenges ahead.

What Is CREDAI?

CREDAI, the Confederation of Real Estate Developers' Associations of India, is a national confederation with over 230 chapters and more than 15,000 members. CREDAI Hyderabad, as a part of CREDAI Telangana, works closely with the government to influence policy changes, resolve issues for builders, and ensure transparency. Through promoting RERA registration, CREDAI strives to uphold a high Code of Conduct and accountability in the industry. Their primary goal is to improve the consumer experience and provide quality real estate solutions.

The Current State of Hyderabad’s Real Estate Market

Hyderabad’s real estate market is in a phase of growth with the next decade and a half holding significant potential. However, there’s some uncertainty in customer perceptions, which is hindering immediate decision-making. The city is expanding in all directions, with the western part seeing substantial growth. As the city grows, the focus must be on a holistic development approach, connecting all parts of Hyderabad and improving infrastructure in a balanced way.

The Future of Real Estate: Moving Beyond Western Hyderabad

The government’s focus on improving connectivity, such as with the upcoming Regional Ring Road (RRR) and the proposed Outer Ring Road (ORR) metro, could lead to a shift in real estate dynamics. While the western region is thriving, areas in the north, east, and south of the city are also on the brink of development.

Initiatives such as the future city project, which focuses on southeastern Hyderabad, show great promise. With companies like Infosys and Tata establishing themselves in the region, alongside the upcoming Foxconn project, these areas have the potential to become major economic hubs.

Affordability and Land Prices: Challenges and Opportunities

The rising land prices in Hyderabad are one of the key challenges faced by developers, making it difficult to build affordable apartments. However, with infrastructure developments like the RRR and the arrival of significant investments, there’s a possibility for better land availability and more manageable prices. This will open up opportunities for more affordable housing options, allowing the city to expand beyond the ORR.

CREDAI’s Role in Ensuring Trust and Transparency in the Market

Hyderabad’s real estate industry is known for delivering quality and adhering to timelines. However, there are instances where delays occur due to factors like labor shortages, legal issues, or supply chain disruptions. Despite such challenges, CREDAI members work towards minimizing delays and delivering projects as promised. The mandatory RERA registration ensures that all developers maintain transparency in their dealings.

CREDAI has put systems in place to handle complaints and issues related to delays or defaults. By adhering to a strict code of conduct, they work to foster trust among consumers and ensure that builders meet their commitments.

What Buyers Should Know Before Investing

Buyers looking to invest in real estate in Hyderabad should understand that in large projects, delays are sometimes inevitable. While these delays are rare, they are often amplified in the media. However, in Hyderabad, builders typically strive to meet deadlines and deliver high-quality results. Potential investors must assess the project's viability and the builder's track record before making a decision.

The Boom on the Horizon: Where Is the Growth Happening?

While the western part of Hyderabad has historically been the main growth engine, the northern and southeastern regions are emerging as key growth hubs. These areas are benefiting from large-scale developments, including the expansion of the tech sector and manufacturing, with companies like Infosys, Tata, and Foxconn setting up operations. The proximity to the airport and the government's focus on job creation are expected to further fuel this growth.

As Hyderabad continues its upward trajectory, developing essential social infrastructure and amenities will be crucial for supporting the expansion in these emerging areas.

Conclusion: The Road Ahead for Hyderabad's Real Estate Market

Hyderabad’s real estate market holds significant promise, with opportunities for growth in the northern and southeastern parts of the city. The government’s initiatives to improve connectivity and create employment opportunities will only further enhance the city's prospects. With the right focus on infrastructure and affordable housing, Hyderabad is poised to become a leading real estate hub for years to come.