Hyderabad sees surge in residential absorption

Hyderabad’s residential demand has witnessed an increase due to rising employment opportunities and positive market outlook, which were just marginally affected by policy changes including DeMo, RERA and GST. Absorption in Hyderabad increased by 21 per cent in 2017 as against the previous year due to positive market sentiments coupled with growing IT work force mainly in the western zone. The absorption in Q1 2018 is at par with the new supply being pumped into the market. The unsold inventory in the city has been declining gradually since 2017. In fact, the city scores far better than many other metros in terms of unsold stock pile-up situation. Approximately 74,000 units have been launched in Hyderabad in the last 5 years, of which nearly 71 per cent (about 52,000 units) came in the west zone. Anuj Puri, chairman, Anarock Property Consultants, said, “The total unsold stock in Hyderabad in Q2 2016 stood at 35,560 units, which reduced by nearly 14 per cent in the corresponding quarter in 2017. The unsold stock further reduced by 13 per cent in Q2 2018 as against the same period in 2017. In a span of two years, the total unsold stock in Hyderabad reduced by nearly 29 per cent.”