Hyderabad Real Estate Faces Steepest Decline in Sales and Launches
The Hyderabad real estate market has faced a significant setback, emerging as the most affected city among major metropolitan regions in India. Recent data released by Anarock reveals that Hyderabad experienced the steepest drop in both residential sales and new property launches in the first quarter of 2025, signaling troubling times for the city’s property sector.
Sharp Decline in Housing Sales
According to the Anarock report, Hyderabad’s residential sales fell by a staggering 49 per cent in Q1 2025 compared to the same period in 2024. While 19,660 residential units were sold in Q1 2024, this number dropped drastically to 10,100 units in Q1 2025. This sharp dip highlights the increasing challenges faced by Hyderabad’s property market.
The overall housing sales trend across India’s seven major cities showed a 26 per cent decrease, with total sales falling from 1,30,170 units in Q1 2024 to 93,280 units in Q1 2025. Among these cities, Hyderabad’s steep decline of 49 per cent was the most pronounced, followed by Kolkata, which reported a 31 per cent drop. Bengaluru, in contrast, demonstrated resilience with a relatively moderate 16 per cent decline.
Decline in New Property Launches
The situation appears equally grim for new property developments. Data reveals that the total number of new launches across the top seven cities dropped by 10 per cent year-on-year, with 1,00,020 units launched in Q1 2025 compared to 1,10,865 units in Q1 2024.
In Hyderabad, the decline in new launches was particularly severe. The city recorded a 55 per cent drop in new residential launches, plunging from 22,960 units in Q1 2024 to 10,275 units in Q1 2025. This steep fall in new launches was the largest among all major cities, starkly contrasting with the 53 per cent rise in new launches seen in the National Capital Region (NCR) during the same period.
Expert Insights on Market Trends
Commenting on the market scenario, Anuj Puri, Chairman of Anarock Group, noted that “MMR and Pune accounted for 51 per cent of the total sales, with MMR witnessing a 26 per cent yearly decline and Pune recording a 30 per cent drop. Hyderabad, however, stood out with the most significant drop in sales at 49 per cent, while Bengaluru saw the lowest decline at 16 per cent.”
The Road Ahead
The current trends in Hyderabad’s property market reflect growing caution among buyers and developers. As the industry adapts to these challenging conditions, developers may need to explore new strategies to stimulate demand and restore buyer confidence in the region.
