Hyderabad August 18
The real estate market in Hyderabad became more expensive in 2023 due to a rise in home loan interest rates and property prices. According to Knight Frank’s Affordability Index, #Mumbai emerged as the most unaffordable real estate market in the same year, with an average home loan EMI accounting for 55% of the household income. On the other hand, Ahmedabad in Gujarat offers the most affordable properties, with the home loan EMI to income ratio standing at a mere 23%.
In Hyderabad, the ratio of home loan EMI to income in the real estate market improved to 31% in 2023, compared to the affordability index in 2019, which was 34%. Despite this improvement, Hyderabad’ s real estate market remains the second most unaffordable in the country.
Interestingly, Hyderabad’ s real estate market has become a top choice for Non-Resident Indians (NRIs), even though it is one of the costliest in India. A significant number of NRIs from the #USA, #Canada, Europe, and the Gulf countries
prefer investing in properties in #Hyderabad. This preference for Hyderabad, along with other prestigious cities like #Bengaluru and #Delhi-NCR, can be attributed to factors such as the COVID-19 pandemic and personal experiences. Many #NRIs, especially those employed in the Gulf states, were forced to return to India due to the epidemic and the subsequent loss of employment.
Although investing in stocks and mutual funds has proven to yield higher returns than real estate, NRIs show a strong inclination towards purchasing properties in Hyderabad. This trend is a result of various factors, including the desire for stability and the emotional connection to their home country.
Overall, while the real estate market in Hyderabad may be expensive, its attractiveness to NRIs remains high, making it a sought-after destination for property investments./please check spellings grammar and rewrite as a news item with this information
