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PropIndex | Magicbricks
Residential Market Insights
Government polices and builder incentives to assist the revival of residential market
After a staggering ~50% return in the last 5 years, the city's prices witnessed a momentary dip of 5.2% in Q2 2020due to the ongoing pandemic. The state government has taken some quick measures to support the falling demandsuch as it dropped the plan to increase stamp duty and registration charges for the time being. To support thesales, the developers started offering incentives such as no EMI until possession and gold vouchers to attract homebuyers. We expect, more builders to follow suit and more such offers in the market in the coming quarter. Accordingto Magicbricks Research, Hyderabad real estate market has solid fundamentals. Government initiatives such aspermits to construct a house through self-certification (built up area <675 sqft), decision to spend INR 50,000 Crorein the next five years for the development of Hyderabad Urban Agglomeration Area, and positive policy for IT/ITeSsector would ensure the long term growth in the market.
5 YearChange YoY QoQ
-5.2%0.5%54.7%
5 YearChange YoY QoQ
-0.3%2.4%35.1%
"Under-constructionprices stagnate as
developers resist pricereduction due to rising
costs"
HyderabadApr-Jun 2020
Parameters India Hyderabad
Demand+ -27% -24%Supply++ -43% -22%Price Index+++ -1.5% -5.2%
"After a stellar rise of50% in 5 years, the
ready-to-move propertyprices fell by asignificant 5.2% in Q2 2020"
Notes:Above parameters represent QoQ change in Q2 2020 atIndia and city level + change in the volume of property searches ++ change in the volume of active listings +++ change in the weighted average price
Source: Magicbricks Research
Aliens Group
Aparna Constructions
Incor Infrastructure
SMR Holdings
Lanco Hills Technology Park
NCC Urban Infrastructure
Provident Housing
Lansum Etania Developers
Asrithas Group
Pacifica Companies
Sharvani Heights Chandanagar
Nebula Aavaas Miyapur
Aliens Space Station Gachibowli
Shiny Jewel Kukatpally
Aparna Serene Park Kondapur
Silverline Casa Nizampet
Casa Rouge Kondapur
My Home Avatar Narsingi
Pacifica Hillcrest Gachibowli
Average changes in prices for localities in various price segments
Market Dynamics
Ready to Move Price Index
Under Construction Price Index
- Ongoing infrastructure projects suchas Musi River Expressway, Phase IIMetro, Bridge near Panjagutta,conversion of 52 major junctions assignal free zones, and road underbridge near Hitech City, are expected toease connectivity across the city
- State government's 'Look East' policyto develop the eastern part ofHyderabad, gained traction andlocalities such as Uppal, Pocharam,Ghatkesar, and Sagar Highway areexpected to see more real estateactivity in the future.
"Significant pricedecline of 4-6% inready-to-move
properties across allprice brackets"
Key Trends to Watch Out
2014
2015
2016
2017
2018
2019
2020
1,000
2,000
3,000
4,000
5,000
6,000
2014
2015
2016
2017
2018
2019
2020
1,000
2,000
3,000
4,000
5,000
6,000
Price Bracket (INR per sqft)
< 4000 4,000-5,000 5,000-6,000 > 6,000
RM UC RM UC RM UC RM UC
-1.3%
-5.7%
-0.9%
-4.1%
1.5%
-3.6%
0.9%
-4.1%
Key Projects
Key Developers based on activelistings
Project Name Locality
Average Price INR per sqft
Average Price INR per sqft
Note: The above table represents the top developers byshare of active listings on Magicbricks website in Q2 2020
Source: Magicbricks Research
Note:The above table represents the top projects by consumerpreference on Magicbricks website in Q2 2020
Source: Magicbricks Research
Notes:1. Ready to move price index represents the weighted average price of completed properties on Magicbricks website as on June 20202. The trend line represents the average prices of dominant asset class in each locality of the city. Source: Magicbricks Research
Note:1. Under-construction price index represents the weighted average price of under-construction properties on Magicbricks website as on June 20202. The trend line represents the average prices of dominant asset class in each locality of the city.
Source: Magicbricks Research
Note: Above table represents the price changes for Ready to move (RM) and Under construction (UC) properties for dominant asset classes in each locality under variousprice buckets as on June 2020
Source: Magicbricks Research
Page 1© magicbricks.com
1 BHK6%
Above 3 BHK4%
3 BHK38%
2 BHK53%
DEMAND
Demand Supply Analysis Hyderabad | Apr-Jun 2020
Demand-supply match amongst all price buckets
2 and 3 BHKs dominate the city's landscapeInfrastructure and IT developmentdriving the residential market
2 and 3 BHKs continued to witness most tractionin Q2 2020 with 91% of the property searches.The supply side also managed to keep up with thedemand in terms of BHK configurations.
- Some of the top IT companies such as Google,Microsoft, Amazon, Facebook and Salesforce aresetting up offices in Hyderabad and pushingdemand for residential development in the city.
"The affordable housing trendhas continued in Q2 as well, withmore than 50% consumerssearching for 2 BHKs"
- Majority of the searches were for houses pricedless than INR 5,000 per sqft, which correspond toprime localities of Adibatla, Patancheru,Nizampet, Kollur, Uppal, Nagole, and Alwal.
The 'more than INR 6,000 per sqft' segmentreceived just 20% of the consumer searches, eventhough almost 30% of the supply was attributedto this segment, indicating buyer's aversion tothe premium segment in the ongoing crisis.
- Miyapur, Gachibowli, and Kukatpally continuedto be the top 3 micro-markets due to proximity toemployment hubs, affordability, and good civicamenities.
Top Micromarkets by consumersearches
Propensity of demand and supply in terms of searches andlistings by localities
1 BHK3%
Above 3 BHK5%
3 BHK44%
2 BHK48%
SUPPLY
5,000-6,00016% 4,000-5,000
21%
> 6,00028% < 4,000
34%
SUPPLY Price buckets in INR per sqft
Top Micromarkets by active listings
5,000-6,00013%
4,000-5,00023%
> 6,00019%
< 4,00044%
DEMAND Price buckets in INR per sqft
Notes:1. Demand represents property searches on Magicbricks website during Q2 2020, segregated by Bedroom, Hall, Kitchen (BHK) configuration2. Supply represents active listings on Magicbricks website during Q2 2020, segregated by BHK configuration
Source: Magicbricks Research
.Notes:1. Demand represents property searches on Magicbricks website during Q2 2020, segregated by price buckets2. Supply represents active listings on Magicbricks website during Q2 2020, segregated by price buckets
Source: Magicbricks Research
Note:1. Above map depicts the key localities of the city, with the size of the bubble depicting demand (consumer preference) /supply (active listings) forproperties in the localities on Magicbricks website in Q2 20202. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
Source: Magicbricks Research
Note:1. Top micro-markets of the city, ranked by their active listings onMagicbricks in Q2 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.
Source: Magicbricks Research
Note:1. Top micro-markets of the city, ranked by number of searches onMagicbricks in Q2 20202. Price ranges represent the range of avg locality prices in themicromarket in INR per sqft.
Source: Magicbricks Research
Patancheruvu
Appa junction
Shamshabad
Kukatpally
Kachiguda
Moula Ali
Kompally
LB Nagar
Adibatla
Medchal
Tellapur
Sun City
Kollur
Uppal
Alwal
© OpenStreetMap contributors
Demand/SupplyDemand
Miyapur 2150 - 5700
Gachibowli 3850 - 8600
Kukatpally 3800 - 8200
Jubilee Hills 5800 - 11200
Nallaganla-Tellapur 2150 - 7050
Kondapur 5300 - 8100
Medchal Highway 3150 - 4950
11
22
33
44
75
56
67
Miyapur 2150 - 5700
Gachibowli 3850 - 8600
Kukatpally 3800 - 8200
Nallaganla-Tellapur 2150 - 7050
Kondapur 5300 - 8100
Medchal Highway 3150 - 4950
Jubilee Hills 5800 - 11200
11
22
33
44
55
86
77
Micro-Market Price Range Rank Rank Q2-20 Q1-20
Micro-Market Price Range Rank Rank Q2-20 Q1-20
Page 2© magicbricks.com
Note:1. Size of the bubble depicts demand, measured by volume of property searches in localities in Q2 20202. Color of the bubble represents price change in Q2 2020, with green color representing price increase and red color price decrease.3. This is an interactive map available on Magicbricks.com under Propindex section.Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
LocalityAvg.Price
PriceChange
Adibatla
Aminpur
Kollur
Patancheru
Bachupally
Beeramguda
Ramachandra Puram
Pragathi Nagar
Jeedimetla
Alwal
Suchitra Circle
Bandlaguda Jagir
Gajularamaram
Kompally
Nizampet
Miyapur -7.5%
4.2%
-6.0%
-6.2%
-4.2%
-7.5%
-7.5%
-7.5%
-7.5%
1.6%
1.7%
-7.5%
-7.5%
-7.5%
-7.5%
-4.8%
3,947
3,941
3,909
3,886
3,796
3,497
3,386
3,382
3,380
3,242
3,241
3,238
2,703
2,589
2,238
2,088
< INR 4,000 psf INR 4,000-5,000 psf INR 5,000-6,000 psf > INR 6,000 psf
Price Analysis Hyderabad | Apr-Jun 2020
- Maximum price decline witnessed in the premium localities in Hyderabad's north-west direction. These include prime localities like Banjara Hills, Jubilee Hills,and Hitec City.
- Price increment was mostly restricted to mid-segment localities such as Narsingi, Beeramguda, and Nizampet, which are located close to the employmenthubs...
LocalityAvg.Price
PriceChange
Appa Junction
Tellapur
Rajendra Nagar
Hafeezpet
Madinaguda
Kukatpally
Nallagandla
Kokapet
Begumpet 0.4%
0.2%
-4.1%
-7.5%
1.2%
-6.5%
-4.5%
-3.8%
-1.2%
5,829
5,751
5,686
5,541
5,421
5,175
5,121
5,109
5,066
Locality Avg. PricePrice
Change
Narsingi
KPHB Colony
Kondapur
Financial District
Gachibowli
Nanakram Guda
Madhapur
Shaikpet
Banjara Hills
Hitec City
Jubilee Hills -7.4%
-6.8%
-6.8%
0.6%
-7.5%
-6.2%
-3.1%
-5.8%
2.3%
-6.0%
1.5%
8,562
7,222
7,173
6,999
6,898
6,726
6,657
6,648
6,501
6,369
6,015
Note:1. Above is the list of major localities of the city, with information about their average prices and QoQ price changes in Q2 2020. This is an interactive table available on Magicbricks.com under Propindex section.2. The locality prices are calculated by averaging the prices of all properties in a locality in multi-storey and builder floor segment, after removing the outlier properties that might distort the overall prices.3. The four tables above categorize the localities in various price buckets.4. The color of the numbers represent the price change in Q2 2020, with green color representing price increase, red color price decrease, and grey as neutral. Source: Magicbricks Research
Disclaimer: The data represented above is compiled by MagicBricks from multiple sources. MagicBricks gives no warranty, express or implied, as to the accuracy, reliability, and completeness of any information and does not acceptany liability on the information which may or may not be subject to change from time to time due to Governmental or non Governmental regulations/directions.
Q2 2020 Price changes for the city's major localities
LocalityAvg.Price
PriceChange
Toli Chowki
Attapur
Uppal
Nagole
LB Nagar
Bollaram
Alkapur Township
Mallampet
Chandanagar
Manikonda
Puppalaguda 3.9%
-2.9%
-3.5%
-7.5%
-6.1%
-7.5%
-7.5%
-7.5%
2.9%
-4.6%
3.5%
4,773
4,661
4,577
4,410
4,392
4,322
4,221
4,159
4,133
4,087
4,009
Surabhi Arora | Head of Research Devendra Lohmor | Chief Manager Ankur Upadhyay | Data Manager Kavya N | Research [email protected] [email protected] [email protected] [email protected]
Please go to https://property.magicbricks.com/microsite/buy/propindex/ to access the full dashboard.
For more information and research related queries, please contact:
Rajendra Nagar-4.5%
Suchitra Circle-7.5%
Appa Junction-1.2%
Patancheru-7.5%
Begumpet0.4%
Kompally-6.0%
LB Nagar-7.5%
Adibatla-4.8%
Tellapur-3.8%
Attapur-4.6%
Kollur-7.5%
© OpenStreetMap contributors
-7.5% 7.5%
-5% -2.5% 0% 2.5% 5%
Page 3© magicbricks.com
