Ashada jinx hits Hyderabad property registrations in July

Experts call decline a temporary phenomenon

HYDERABAD: Hyderabad has witnessed the registration of 4,313 units of residential properties in July 2022. The number of registrations in July 20 per cent lower on month on month basis as buyers preferred to delay registrations in the wake of rising interest rates and the Hindu month of Ashada, which is considered not ideal to execute big purchases.

"The total value of properties transacted in July 2022 stood at Rs 2,101 crore also registering a decline of 26 per cent MoM. Since the beginning of the year, the city has seen sales of 40,897 residential units with a total worth of Rs 20,023 crore," said a monthly report released by Knight Frank India.

The Hyderabad residential market includes four districts namely Hyderabad and its surrounding Medchal-Malkajgiri, Rangareddy and Sangareddy.

A decline in the registration of properties worth over Rs 50 lakh and above contributed to the decline in valuation. The share of registrations for properties worth Rs 50 lakh and above has declined to 26 per cent in July 2022 from 31 per cent in July 2021.

However, homes in the price band of Rs 25 lakh and Rs 50 lakh constituted 56 per cent, which is an increase from a share of 34 per cent in July 2021.

The contribution of the segment comprising houses worth less than Rs 25 lakh in the July registrations declined to 18 per cent compared to 35 per cent a year ago.

Commenting on the report, Shishir Baijal, chairman and managing director, Knight Frank India said, “Going forward, we do expect some short-term moderation in activities due to the rising home loan rates and an increase in prices in the market. However, the strength of the latent demand in the market is expected to keep the market buoyant in mid to long-term basis, because of the overall economic growth and the rise in income levels.”

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