Hyderabad residential sales records growth at 18%

Accounting for an 18% share across the top seven cities of India, Hyderabad has witnessed growth in residential sales in the first half of 2021, which is from January to June. The launch of the Telangana State Building Permission Approval & Self Certification System, an integrated platform, has been witnessed by the State for seeking several approvals to develop land and construct buildings through a self-certification system in 21 days. According to CBRE South Asia, the Telangana government also proposed a 50% rebate on property tax for FY21, which is expected to increase housing sales. Property rates have increased at a CAGR of 1 to 6% across the high-end residential segment and at around 2 to 7% across the mid-segment since 2010, with Bengaluru, Pune, and Hyderabad reporting an increase at the higher end of the range. The recovery proceeded in H1 2021 in Pan-India, as sales reported more than 75% growth on a yearly basis. The sales activity of Pune was nearly 26% share, followed by Mumbai with 19%, followed by Delhi-NCR and Hyderabad with 18% and 17% shares, respectively. In its recent report, Residential Real Estate in India – Challenges and Future-Proofing Strategies for Developers, CBRE South Asia said the report states that the residential segment was showing good signs of recovery on the back of policies the Central and the State governments and the RBI announced, along with the incentives provided by the developers. The per capita GDP increased at a CAGR of 4% between 2010 and 2020, while the property prices grew at a CAGR of 1 to 6% across high-end segments and around 2 to 7% across mid-segment since 2010. Additionally, the GDP per capita increase was above the national average for the top seven cities. Therefore, the growth of the income crossed the rise in the property prices, further contributing to housing affordability. Image Source Also read: Housing sales notes 75% growth in H1 2021: CBRE South Asia