Is It the Right Time to Invest in Hyderabad Real Estate in 2025?
If you're thinking about buying a home or investing in property in Hyderabad, you're probably wondering, "Is this the right time?" As of mid-2025, the answer isn't just a simple yes or no. It depends on where you buy, what kind of property you're looking at, and how long you plan to hold the investment.
Let's break it down in a way that's simple and easy to understand.
The Hyderabad real estate market is showing a mix of signals:
Prices have gone up by 11% compared to last year, showing strong demand.
But, sales have slowed down—with a 27% drop in the number of homes sold.
Still, there's a positive sign: sales increased by 9% from the last quarter.
So while fewer people are buying right now, the recent pick-up in activity suggests confidence is slowly coming back.
Higher property prices are making some buyers think twice.
Geopolitical events like Operation Sindoor are adding global uncertainty.
The RBI has cut interest rates twice in 2025, bringing the home loan rate down to 5.5%, which is a good sign for buyers.
The city's IT and Global Capability Centres (GCCs) are booming. Over 3 lakh professionals work in GCCs here, and job postings are growing faster than even Bengaluru.
Other sectors like Pharma, Biotech, and Electronics are also expanding.
Telangana's economy is expected to grow by 12% this year, which helps push real estate demand.
The Metro Rail is expanding. Areas like Miyapur, Uppal, and LB Nagar are seeing new demand thanks to better metro connections.
The Outer Ring Road (ORR) and the upcoming Regional Ring Road (RRR) are making far-off areas more connected and desirable.
Hyderabad airport (RGIA) has finished its expansion, improving travel and raising demand in areas like Shamshabad.
New policies for businesses make it easier to set up industries, bringing more jobs—and more housing demand.
RERA laws in Telangana protect buyers and ensure timely project delivery, increasing trust in developers.
Average property price in Hyderabad: ₹7,548 per sq ft
Compare that to:
Mumbai: ₹21,892
Delhi NCR: ₹13,353
Living costs are 30% cheaper than Bengaluru, and rents are about 24% lower.
This makes Hyderabad more attractive for both homebuyers and tenants.
Prices in areas like Gachibowli have gone up 33% in just 3 years.
Luxury rentals are now between ₹2 lakh and ₹5 lakh/month, and rental yields are improving.
NRIs and HNIs are investing in premium projects like Godrej Regal Pavilion in Rajendra Nagar, drawn by Hyderabad's mix of value, growth, and quality.
Not everything is perfect. Here are some things to watch out for:
While prices are up, many buyers are waiting and watching, which has caused a dip in overall home sales compared to last year.
Over 50% of the new homes launched in Q2 2025 are priced above ₹2.5 crore. This may create an oversupply in the luxury segment while the mid-range market still faces high demand.
Although Hyderabad's commercial market is strong, 17.5% of office space remains vacant. This is better than before (it was 19%), but it may slow down rental demand in nearby areas until more offices are filled.
Even after the RBI cuts, loan rates aren't as low as they were in 2021. This might keep EMIs slightly high, especially for first-time buyers.
As Hyderabad expands, areas further from the city center face growing traffic and longer commute times. Choosing the right location with proper connectivity is key.
Here are a few tips if you're planning to invest:
Think Long-Term: If you plan to stay invested for 5 years or more, the odds of strong returns are in your favor.
Choose the Right Area: Places like Rajendra Nagar (Godrej Regal Pavilion), Kokapet, and Gachibowli are seeing strong growth due to jobs and infrastructure.
Pick the Right Property Type:
Apartments = better rental income
Plots/Villas = better capital appreciation
Go with Reputed Builders: Especially in a market with delays and oversupply, buying from RERA-approved developers ensures better safety.
Check Your Finances: Don't stretch your loan. Interest rates may still change again, so stay flexible.
Hyderabad is not just another real estate market—it's a growing business and lifestyle hub. With strong job creation, improving roads and transport, and rising rental income, this city offers both stability and growth.
Whether you're an NRI looking to invest back home, a first-time buyer hoping for appreciation, or someone seeking a retirement base in a well-connected area—Hyderabad offers options for all.
Yes—but smartly. Don't expect quick flips. Focus on future-ready locations, plan for the long-term, and invest with builders you trust.
The Hyderabad market in 2025 is not at its cheapest point—but it's still at a place where strong long-term value exists. For investors looking at options like Godrej Regal Pavilion, the time to act may just be now.