Hyderabad: rapid rise in land prices has driven home the ‘budget’ to the outskirts of Hyderabad.
Available in Gachibowli-Kokapet belt-Narsingi until three years ago, buyers now have to drive at least 20 km from Hyderabad ‘Hi-Tech’, to find a home in the Rs 60 lakh to Rs 80 lakh.
Their new location: Kollur, Kismatpur, Shamshabad among others.
In the eastern corridor, destination budget has shifted to areas along the Nagarjuna Sagar Road – about 30 km from Secunderabad Railway Station.
“It is deeply rooted in the land costs are multiplied in several locations in recent years.
Since developers pay high tariffs, they use FSI without limits (index of floor space) with full build high-rise – not less than 30 floors.
This, in turn, increases the cost of construction, “said Sumanth Reddy, Managing Director of the Indian Institute of Real Estate.
He added: “These additional costs passed on to customers.” According to Reddy, the majority of houses in the core of the corridor now come with a price tag of no less than Rs 1 crore.
Fast scanning property portal corroborate this claim.
Search for homes below Rs 90 Lakh throws limited options in Tellapur and Nallagandla.
Most of the others were in Kollur and surroundings or location such as Karmangphat and Adibatla – more than 50 km of the IT belt.
“There has been a rise of at least 30% in construction costs, post pandemic, with a surge in steel, cement, labor and other charges.
This, coupled with the value of land increases have increased the price of Rs 80 lakh to Rs 1 crore,” said Ashwin Rao of construction manbhum.
But the distance though, these cheap homes in demand, Rao quickly add up.
“It belongs to Hyderabad road infrastructure, which has made traveling 25-30 km,” he said.
While typing a city connectivity advantages, Veera Babu, Managing Director of Cushman & Wakefield (Hyderabad) said that this trend has put the differences of the city as “the segment of quality, affordable housing in recent months”.