Hyderabad Real Estate Market: 25 Percent Decline in Registrations, Dip due to HYDRA Action?

September 2024 Vs September 2023: 25 Percent Down in Property Registrations

Hyderabad’s real estate market experienced a sharp downturn in September 2024, with property registrations dropping by 25 percent compared to the same month last year. The decline has been attributed to the ongoing demolitions carried out by the Hyderabad Disaster Response and Asset Monitoring and Protection Agency (HYDRA).

Real estate professionals are pointing the finger at HYDRA, asserting that the demolition activities have instilled fear among potential buyers. In September 2023, 51,144 properties were registered in and around Hyderabad, a figure that fell to 38,464 in September 2024. This drop has significantly impacted state revenue from property transactions, which plummeted from Rs 955 crore to Rs 650 crore over the same period.

Many realtors are voicing strong criticism of HYDRA's demolition drives, stating that they have created uncertainty in the market. “Buyers are now reluctant to invest, worried that their land may later be marked as part of lakes or nalas,” commented a realor. Realtors are calling for the Telangana state government to take immediate action by clearly defining Full Tank Levels (FTL) and buffer zones, which would help restore buyer confidence.

Despite certain areas, such as Banjara Hills, maintaining steady registration figures, the overall drop in registrations has sent ripples through Hyderabad's once-bustling real estate sector. Industry leaders are urging the government to strike a balance between protecting natural resources and revitalizing the property market.

Realtors are calling for prompt government intervention to restore buyer trust and stimulate growth in the sector, while still upholding environmental protection measures.

Also read: Bombshell on Hyderabad’s Real Estate: Top Builders Encroach Lakes, Major Projects in FTL Zones at Risk