Hyderabad’s real estate market is witnessing a significant shift towards luxury homes, with 45% of buyers opting for properties priced between Rs 90 lakh to Rs 1.5 crore. According to the ANAROCK-FICCI Homebuyer Sentiment Survey for H1 2024, demand for premium and luxury homes has increased, while interest in affordable housing continues to decline. Dissatisfaction with project locations, construction quality, and small unit sizes are driving buyers away from affordable options.

In contrast, luxury homes in Hyderabad have become increasingly popular, with 54% of respondents preferring 3BHK apartments. This trend is also seen in cities like Chennai and Bengaluru, where spacious living spaces are in high demand. The survey found that 53% of affordable housing buyers are unhappy with current options, citing accessibility issues and cramped spaces as major deterrents.

Rental income potential is also driving demand for luxury homes in Hyderabad. Approximately 57% of residential real estate investors focus on rental income, making real estate an attractive investment option. With rental rates rising significantly, luxury homes in Hyderabad offer a promising return on investment. This shift in buyer preference underscores the growing importance of quality, space, and rental potential in Hyderabad’s real estate market.