Hyderabad: Homebuyers can cheer, no realty bites for now

Hyderabad: Citizens aspiring to buy a house need not worry as builders and developers do not anticipate any major increase in property prices in the city in near future.

Though new transport infrastructure acts as a major fillip for realty prices to go up, the recently sanctioned railway projects like the rail terminal at Cherlapally and the extension of MMTS Phase-III up to Raigir (Yadadri) will not have any major impact on property prices.

Builders said the prices have gone up a little on the eastern side, from Uppal to Ghatkesar as Yadadri is being developed as a religious-cum-tourist destination.

Besides, Cherlapally and the MMTS projects are not new and would take a long time for completion. Both the projects are much-needed infrastructure works for this part of the city and a boon for the realty sector in the long run.

“The Cherlapally railway terminal and MMTS trains up to Yadadri will not create any realty  boom until the MMTS service starts or the first phase of the new rail terminal is opened,” Telangana real estate developers association president P. Dasharath Reddy said.

Positive growth is ongoing in Greater Hyderabad, mainly on its outskirts, due to the governance stability brought in by the TRS government. Although a near-term boom in prices is ruled out, towns and cities in Telangana would in future be irresistible for the realty business, he said.

Builders said when work starts on the MMTS-Yadadri line and construction of Cherlapally terminal, there may be a 15 to 18 per cent growth in realty prices. For example, if a property is worth Rs 20 lakh now, the price would increase by another Rs 30,000 to Rs 40,000.

Mr Ashwin Rao of Manbhum Constructions said among all modes of transport, rail connectivity matters most as a boost to the real estate market.

Read: Hyderabad: SCB blocks realty growth

“It has been historically proven that rail connectivity leads to increase in prices of land and properties. Both the railway projects are a boon for the middle class and lower middle class, as builders and developers will take up budget-housing beyond Ghakesar and Cherlapalli areas.

Places like Bhongir and Bibinagar will benefit due to MMTS Yadadri, and linking of Cherlapalli, Rampalli, Bandlaguda and Jawaharnagar with Cherlapalli terminal,” he said.

R.K. Rao, general secretary of the Confederation of Real Estate Developers Association, Greater Hyderabad, said only when people start using MMTS-III to Yadadri will the realty market pick up towards the eastern side.

Experience is that the railways take their own time to complete projects.
“There would not be any significant immediate impact on the property market,” he said. As on date, there is steady positive growth in real estate in the city.