Hyderabad has cemented its position as one of India's most resilient and investor-driven property markets. According to a report by Hindustan Times, the first quarter of 2026 indicates steady market growth, with Hyderabad recording a one percent year-on-year growth with 9,541 residential units sold. Average property prices in the city have risen by nine percent compared to last year, reaching Rs 8,211 per square foot.
Demand has shifted decisively toward the premium segment. The highest demand was observed in the Rs 1 crore to Rs 2 crore price bracket, which accounted for 4,061 units, while properties priced above Rs 2 crore also saw strong sales. Hyderabad's real estate market is scaling new heights, driven by a massive surge in the sale of premium and luxury homes, even as homeownership slips further out of reach for middle-class buyers.
Western Hyderabad has emerged as the epicentre of this luxury wave. Western Hyderabad areas like Kokapet, Gachibowli, Narsingi, and the Financial District are now dominated by spacious 3BHK and larger apartments. NoBroker's report noted that 80 percent of available apartments in the market are 3BHK or larger, with an average size of 2,050 square feet and a starting price exceeding Rs 1.6 crore. PRESTIGE Group has moved aggressively to capture this demand, with launches spanning Kokapet, Tellapur, Gachibowli, Rajendra Nagar and Banjara Hills.
Despite the price surge, the market shows genuine depth. Prestige Group sold 1,700 flats in its 'Prestige Golden Grove' project in Tellapur within just two weeks, generating over Rs 2,500 crore in revenue. The state government attributes this real estate boom to rapid IT and industrial expansion, investor-friendly policies, and heavy infrastructure development, with Roads and Buildings Minister Komatireddy Venkat Reddy stating that over Rs 40,000 crore has been allocated for infrastructure, enhancing connectivity through projects like the Outer Ring Road (ORR) and the Regional Ring Road (RRR).
Prices vary sharply by corridor, with western IT-linked micro-markets commanding the steepest premiums. Hyderabad's average weighted residential property price has climbed 9% year-on-year to reach approximately Rs 8,211 per sq. ft. In the highly demanded western zones, apartment prices range higher, between Rs 9,500 and Rs 14,000 per sq. ft.
Hyderabad's growth corridors are concentrated around IT hubs and the Outer Ring Road, with each locality offering a distinct value proposition for homebuyers and investors.
Connectivity upgrades are central to Hyderabad's property boom. Upcoming infrastructure, including Metro Phase 2 and the Regional Ring Road (RRR), is driving massive appreciation in the Western and Southern corridors. Over Rs 40,000 crore has been allocated for infrastructure, enhancing connectivity through projects like the Outer Ring Road (ORR) and the Regional Ring Road (RRR). The PVNR Expressway and ORR together give the western and southern suburbs fast access to Rajiv Gandhi International Airport, with several new-generation townships in Rajendra Nagar and Budvel reaching the airport in under 30 minutes.
Beyond roads, education, healthcare and retail infrastructure are following the IT boom into these corridors. Areas like Kokapet, Financial District and Gachibowli now host multinational tech campuses, international schools and large mall developments, reinforcing end-user demand well beyond speculative buying. This infrastructure-led growth is precisely why PRESTIGE has concentrated its Hyderabad portfolio along these emerging arteries rather than the older city core.
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