Hyderabad, the capital city of the state has been assessed the highest across a range of indicators such as GDP and is tagged as the most dynamic city of 2020 globally by the JLL City Momentum Index 2020. Optimally located in south India, close to the metropolitan cities like Bengaluru, Chennai, and Mumbai, the city has the most accessible markets. Outstanding connectivity is the prime requirement for the investment industry as it ensures rising trends in property prices owing to the advantages like proximity to the prime markets.Â
Let us understand what makes Hyderabad attractive and what makes real estate in Hyderabad boom. Here are a few reasons that buttress the growing markets of Hyderabad.
Also, the property prices vary in different localities in the city owing to the development, connectivity, availability of the properties, and proximity to the IT hub.Â
For instance, the land rates in Narsingi, a locality in Hyderabad have a broad range of Rs.2,882 to Rs. 16,216 per sq. ft. This weaves along a huge consumer base who can choose to invest in premium localities like Narsingi at an affordable price. This makes the real estate cityscape widen further.Â
Top 6 Reasons to Invest in Hyderabad Real Estate Market
Emerging IT hub
The IT hub of Hyderabad is responsible for the massive influx of working professionals who create the demand for the assets and investment markets. In the past six years, the capital city of Telangana has witnessed a drastic change and in fact, has emerged as a new tech hub of India. The expanding IT hub has led to the development of new investment opportunities like Office spaces, residential and commercial assets, and co-living spaces. With the massive consumer base, real estate investment is not going to let you down as the tech giants that are the source of the markets have strengthened their base.ÂAttractive Tax Benefits
The state of Telangana offers many benefits to the customers. Recently, the state government of Telangana has given a 50% waiver off on the property tax to homeowners as a Diwali gift. The asset owners who are in the vicinity of the Greater Hyderabad Municipal Corporation could avail of the tax rebate up to Rs.15,000 while the owners of 141 other municipalities in the state could claim Rs.10,000 tax rebate. This benefit could be availed by the homeowners for the financial year 2020-2021. The homeowners who have already paid their property tax have nothing to worry about as they can claim it in the next financial year. The tax benefits like these lure the investors and also help the property owners save some money. This attracts investments from investors by creating a win-win situation for investors and developers. ÂOpen to New Avenues
The markets that experience fast development are those that are adaptable to the changes and welcome the new trends. Hyderabad masters the art of adapting to new technologies and emerging trends and the current market stands as the testimony to the aforementioned statement. The new digital trends forced by the pandemic have stirred the markets and are extending opportunities for the data centres’ markets. The commercial property market is being complemented by the warehousing markets which are currently experiencing an increase in demand owing to the e-commerce developments. The e-commerce industry has spread its wings with its strategies like instant delivery that led to the warehousing market’s requirement. The city has opened up opportunities for the investors into the high graded assets like warehouses and data centres that level up the city’s stand in the leading markets. It is wise to invest in the emerging markets where there is scope for development and Hyderabad has got it all which makes it the optimal location to invest in.Smart Government Initiatives
The government initiatives have brought the slumbering markets to life. With policies like Look East and North, Integrated township policy, the government has devised the strategic dispersion of the markets that are concentrating in some parts of the city. The policies are now driving the demand in the markets in the fringe areas and expanding them smartly. This might stimulate the price increase of land in the surrounding areas. As many as 5 IT parks have been approved in these corridors to boost the development. Hyderabad is trying in the best ways to avoid saturation and provide new opportunities which is the supreme feature of the investment location. ÂFast Pace Infrastructure Developments
Infrastructure plays a prominent role in the development of the real estate sector. The Outer Ring Road and the Metro Rail Project are connecting the strategic locations of the city. You can reach out to any part of the city through the Ring Road with least of the traffic congestion. The ORR enhanced connectivity and propelled the real estate industry at large by appreciating the property prices in the areas like Adibatla, Kompally, Ghatkesar, to name a few. The urban infrastructure has therefore catalyzed city development with the enhanced connectivity.ÂAffordable Property Prices
The peculiar feature of the Hyderabad market is the affordability and the diverse property prices. Hyderabad has low land prices when compared to other metropolitan cities of India. The land prices of different cities are tabulated below for easy reference.
Also, the property prices vary in different localities in the city owing to the development, connectivity, availability of the properties, and proximity to the IT hub.Â
For instance, the land rates in Narsingi, a locality in Hyderabad have a broad range of Rs.2,882 to Rs. 16,216 per sq. ft. This weaves along a huge consumer base who can choose to invest in premium localities like Narsingi at an affordable price. This makes the real estate cityscape widen further.Â
Bottom Line
Hyderabad is turning out to be the world of opportunities with the expanding and scaling up markets. Owing to the optimal location and climate, the city is enticing the investors with various reasons like affordable pricing, tax benefits, and many more. This led to the establishment of tech giants like Amazon and MNCs that run profitably. What could be a better place to invest other than Hyderabad after knowing it all? Invest in real estate through Assetmonk, an online real estate investment platform. We offer services at strategic locations like Hyderabad, Bengaluru, and Chennai. The highly curated assets are listed on our platform which has high expected yields of an IRR of up to 21%.ÂHyderabad Real Estate FAQ's:
Yes. Hyderabad is a good location to make an investment due to the affordable prices. Also, the emerging IT hub brings heavy influx of working professionals who build the market.
Hyderabad is leading in the real estate market due to the emerging IT hub and various government initiatives that support the real estate investment. Hence, the real estate in Hyderabad is booming.
The IT hub has introduced working professionals to the city who created the demand for the rental housing, co-living sector. Also, the properties in the proximity of IT hub experience huge capital appreciation owing to the development.Â
Hyderabad proves itself as the best location to invest in with the potential to expand and provide new opportunities to its investors like warehouses, data centers, co-living, and condos. This ensures that the investors have ample opportunities to choose the one that suits them. The stable market trends also stabilize your investment and earn the investor lucrative returns.