Telangana & Hyderabad Real Estate Year-End Review 2025

1. Hyderabad Real Estate Market Snapshot 2025

Hyderabad’s real estate market in 2025 showed robust growth and consistent demand, outperforming many other Indian cities. Strong IT, healthcare, and commercial sectors supported residential and commercial property growth.

Highlights:

  • Weighted average property prices rose steadily year-on-year.
  • Premium segment saw consistent growth.
  • Peripheral micro-markets like Rangareddy and Medchal-Malkajgiri reported fastest price appreciation.

Residential Price Movements

  • Average residential prices increased 8–9% YoY, with quarterly peaks.
  • Prime areas like Banjara Hills, Gachibowli, Kondapur maintained ₹8,000–₹15,000/sq.ft rates.
  • Peripheral zones saw 17%+ price growth, led by connectivity and commercial investments.

Luxury & Premium Segment

  • Homes above ₹1 crore gained significant demand, forming 22–25% of total registrations in some months.
  • Top transactions reached ₹6 crore+.

Affordable Housing

  • Mid-tier homes under ₹50 lakh dominated volumes but witnessed slower growth.

3. Micro-Market Analysis

Core Hyderabad

  • Gachibowli, Banjara Hills, Kondapur, HITEC City: Luxury & premium demand remained strong.
  • Secunderabad & Central Hyderabad: Steady redevelopment demand; limited land supply keeps prices high.

Western Suburbs

  • Kokapet, Tellapur, Narsingi, Kollur, Bachupally: Emerging hotspots driven by IT corridor spillover demand.

Peripheral Corridors

  • Rangareddy & Medchal-Malkajgiri: High volume and price growth due to better connectivity.
  • Future Growth Frontiers: Areas near Telangana’s Future City projects saw significant land price jumps.

4. Demand vs Supply Dynamics

Demand Trends

  • Buyer preference shifted toward larger homes (3BHK+) and premium finishes.
  • Gated communities with amenities saw high absorption rates.

Supply Trends

  • New supply dropped ~38% in Q3 2025 compared to 2024, concentrating on premium launches.
  • Reduced supply amid steady demand reinforced price growth.

Commercial & Office Spaces

  • Office leasing, particularly in HITEC City and Gachibowli, remained strong.

5. Key Drivers of Growth

  • Infrastructure Boost: Metro Phase-II, ORR expansion, and ring road plans drove peripheral growth.
  • Government Reforms: TS-bPASS and fast-track approvals streamlined project development.
  • Investment Summits: Telangana Global Summit 2025 attracted developers, boosting land prices in emerging corridors.

6. Market Risks & Challenges

  • Affordability: Rapid price increases made ownership challenging for middle-income buyers.
  • Sales Volatility: Some months saw 30% lower sales due to seasonal fluctuations.
  • Luxury Inventory Pileup: Certain areas faced unsold premium inventory, affecting price momentum.
  • Speculation Risk: Limited inventory sometimes drove speculative price increases rather than end-user demand.

7. Outlook for 2026

Investor Perspective

  • IT corridor and urban core markets remain long-term growth zones.
  • Peripheral zones (Tellapur, Narsingi, Rangareddy) present high potential returns.

Homebuyer Perspective

  • Connectivity and lifestyle remain critical factors in selecting properties.
  • Affordable housing opportunities exist where supply expands intelligently.

Policy & Development

  • Supply-demand balance expected to improve with continued reforms and infrastructure development.

2025 Summary Table

Aspect2025 Trend
Prices+8–17% YoY
Premium DemandStrong growth above ₹1 crore segment
Affordable HousingModerate growth
SupplySelective; premium-focused
Infrastructure ImpactStrong driver for peripheral growth
Investor ConfidenceHigh in growth corridors
Buyer ChallengesAffordability & sales volatility

Sources

IncorLakeCity – Hyderabad Real Estate Market

AquireAcres – Hyderabad Real Estate 2025

Tytil – Telangana Real Estate Trends 2025

Manavoice – Hyderabad House Prices Rise

Telangana Today – New Supply Drops 38%

UrbanRise Opulence – Hyderabad Real Estate 2025

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