Welcome Telangana

[manishchan]

Hyderabad has one of the most depressed real estate in the country. I find it interesting considering it is one of the handful of Tier 1 cities, contributes the fifth biggest to Indian GDP among the cities.

Yes arcus.. the properties rate in Hyderabad hasn't skyrocketed as fast as in other cities despite having good financial and infrastructural growth YoY. The only reason has been the Telangana agitation which was going on for years.

Till the time the separation wasn't announced, the prices kept on fluctuating. The general sentiments were/still are that formation of Telangana wouldn't hv positive effect Hyderabad. The faith of people in terms of development is more with Mr. C Naidu as compared to that of in Mr. KCR.

 

[arcus]

Yes arcus.. the properties rate in Hyderabad hasn't skyrocketed as fast as in other cities despite having good financial and infrastructural growth YoY. The only reason has been the Telangana agitation which was going on for years.

Till the time the separation wasn't announced, the prices kept on fluctuating. The general sentiments were/still are that formation of Telangana wouldn't hv positive effect Hyderabad. The faith of people in terms of development is more with Mr. C Naidu as compared to that of in Mr. KCR.

I disagree. If your theory were true, then after announcement of division, the price of real estate in Hyd must have zoomed up as there won't be any statehood agitations (but such a thing hasn't happened).

The Hyderabad real estate market has been depressed since late of 2009 i.e. since the talk of division of the state had been intensified.

We all know that around 40% of the Hyderabad population is made up of people from Seemandhra.

So, I think the lack of fresh demand from Seemandhra people and also the liquidation of the property from existing Seemandhra owners has pushed the real estate market down.

Where have these two groups of people started investing then??

Its in Seemandhra.

This can also be seen in real estate from the newly formed AP. The real estate there has been zooming and in places like MG road Vijayawada where it is around 2L/sq yrd from around 75K/sq yrd few years ago.

The price per acre in Mangalagiri has gone from around 2 to 3 Cr to 15 Cr presently.

 

[manishchan]

Yes arcus.. the properties rate in Hyderabad hasn't skyrocketed as fast as in other cities despite having good financial and infrastructural growth YoY. The only reason has been the Telangana agitation which was going on for years.

Till the time the separation wasn't announced, the prices kept on fluctuating. The general sentiments were/still are that formation of Telangana wouldn't hv positive effect Hyderabad. The faith of people in terms of development is more with Mr. C Naidu as compared to that of in Mr. KCR.

I disagree. If your theory were true, then after announcement of division, the price of real estate in Hyd must have zoomed up as there won't be any statehood agitations (but such a thing hasn't happened).

The Hyderabad real estate market has been depressed since late of 2009 i.e. since the talk of division of the state had been intensified.

We both are talking on the same point. Yes... most of the investors who hv been investing in Hyderabad has lost interest post separation (for the obvious reasons)

We all know that around 40% of the Hyderabad population is made up of people from Seemandhra.

So, I think the lack of fresh demand from Seemandhra people and also the liquidation of the property from existing Seemandhra owners has pushed the real estate market down.

Where have these two groups of people started investing then??

Its in Seemandhra.

This can also be seen in real estate from the newly formed AP. The real estate there has been zooming and in places like MG road Vijayawada where it is around 2L/sq yrd from around 75K/sq yrd few years ago.

The price per acre in Mangalagiri has gone from around 2 to 3 Cr to 15 Cr presently.

This is exactly what I meant when I said people have more faith in Mr. Naidu than in Mr. KCR.