‘Realty sales fell in Hyd due to multiple factors’

Hyderabad: Amidst real estate investment consultants’ reports indicating a drop in sales of residential properties, across luxury, premium and other segments in Hyderabad, property developers are optimistic about its growth given the State government’s infrastructure initiatives to attract investments, tourists and creation of new jobs.

Speaking during the announcement of the 14th Naredco Telangana Property Show 2024, Vijaya Sai Meka, president, Naredco Telangana, said: “In general, major factors affecting residential property sales in Hyderabad are slowdown in overall recruitment in IT sector, increase in interest rates on home loans, rise in building material prices and consequent increase in the cost of the properties. This has affected the affordability for homebuyers.”

He went on to add that, purchasing power has also been affected as existing IT professionals have not received salary increments and job guarantee is in question too. In the case of luxury housing sales, which dropped by 68 per cent during July-Aug 2024 compared to last year, Vijaya Sai cited excessive supply as one of the major reasons.

However, Naredco (National Real Estate Development Council) Telangana is optimistic the growth in sales given the governments initiatives which includes the formation of RRR (regional ring road), the Musi river development, and new Metro routes. He added, “These infrastructure initiatives by the government will support growth of real estate in Telangana in the coming years by attracting investments.”

On a query about the effect of Hydraa (Hyderabad Disaster Response and Asset Protection Agency) on the sales of residential properties, Vijaya Sai said, “We were also confused in the beginning when Hydra came into existence. Existing buyers wanted to withdraw, and prospective buyers are not willing to come forward. This has now been overcome with the timely statement of Chief Minister A Revanth Reddy.”

He informed that the real estate body has requested the government to issue a clarification in view of the misinformation that has spread about some of the approved projects

labelled as illegal.