Hyderabad Home Sales Hit 4.5-Year Low, Yet Prices Rise 10 Percent

<p>Hyderabad's residential real estate market has turned in its weakest half-year performance in four and a half years, with home sales falling 13 percent during the first half of fiscal year 2026, according to the CREDAI Hyderabad-CRE Matrix report.</p>
<p>Developers sold 26,068 housing units in H1 2026, the lowest half-year figure since 2022. Sales have declined steadily from over 36,000 units in H1 2023 to the current level.</p>
<p>Prices, however, have not followed sales downward. The average value of homes sold rose 10 percent to Rs 2.03 crore in H1 2026, compared with Rs 1.85 crore during the same period in 2025. The total value of residential properties sold across Hyderabad stood at Rs 52,913 crore.</p>
<p>Hyderabad recorded sales of nearly 60 million sq ft of super built-up area in the first half of 2026, with the average home sold measuring around 2,300 sq ft.</p>
<p>NRI demand softens</p>
<p>Real estate developers pointed to a notable drop in demand from non-resident Indians, particularly those based in the United States. They attributed the slowdown to concerns over job security and stricter visa rules that have made NRI buyers more cautious.</p>
<p>Developers also linked part of the market slowdown to uncertainty surrounding the Gulf conflict, saying the situation affected buyer confidence and construction activity over the past six months. They expect housing demand to improve in the second half of the year.</p>
<p>Record launches widen inventory gap</p>
<p>A pressing concern for the market is the rapid build-up of new housing supply. Developers launched a record 49,656 homes in H1 2026, which is 37 percent more than in the same period of 2025. This surge in new launches has widened the gap between supply and absorption significantly.</p>
<p>The city's unsold housing inventory climbed 21 percent year-on-year to 1,42,722 units in H1 2026. Of these, only around 20 percent are ready for possession or scheduled for completion in 2026. The remainder is still under construction.</p>