Hyderabad realty on an upward swing
Unlike other election years when the realty market slipped into a slump during the run-up to polling day, the sector has seen tremendous movement during the first quarter 2019.
In Hyderabad, the upward swing has been particularly impressive with Anarock Property Consultant’s data indicating an eight per cent rise in sale of homes between January and March—5,400 units were sold during this time—from its preceding quarter, October to December 2018.
On a yearly basis, the housing sales in the city jumped by a massive 33 per cent, the data revealed. The total homes bought in the first quarter of 2018 was 4,050.
Similarly, the count of fresh residential units launched in Hyderabad during the first three months of the year witnessed a 23 per cent increase—4,850 homes in total—compared to the last quarter of 2018.
“Conventionally, the time between the announcements of election date till the result day is a period that sees the real estate move with caution and hesitancy. While investors refrain from market plays in this waiting period, buyers also adopted a wait-and-watch policy in anticipation that the newly elected government may offer some sops,” said Santhosh Kumar, vice-chairman of Anarock attributing the change in trend, this time, to these primary reasons: lowering of GST rates, budget sops for buyers as well as investors and RBI’s slash in repo rates that was subsequently followed by a rate cut in home loans by most banks. “These have given a major boost to buyer sentiments and hence the rise in sales,” he added.
What’s also worked in favour of Hyderabad, Kumar said, is the low pricing, robust social and physical infrastructure development and increased office leasing activity in recent times. Not surprising then that the city’s residential market has the lowest unsold inventory at the moment, among the top seven cities – Mumbai Metropolitan Region, National Capital Region, Bengaluru, Chennai, Pune, Kolkata and Hyderabad.