The Telangana Factor, Effects on Hyderabad real estate market

Date Added: March 26, 2008 09:26:30 AM

Author: phani

Hyderabad real estate pounced like a tiger in the past 2 years apartment prices shot up by 300% in certain areas, People who bought early and developers made merry!, but then as the old saying goes you should make hay while the sun shines. 300% in 2 years? Does that ring alarm bells… well land prices in Hyderabad actually shot up by around 1000% in the out skirts to a high around 9 months back. Owing to heavy pressure on liquidity and lack of direction to the market, the Hyderabad real estate market softened a little 9 months back but apartment prices remain steady. But the situation today is much different compared to what was couple of months back owing to the lack of political direction towards separation of the state and the regular meetings and rallies in support of telangana raised an alarm in the minds of real estate investors. Net effect land prices in the outskirts of Hyderabad started softening. Prices of undeveloped land near the srisailam highway which had touched peaks of 1Crore per acre are have dropped to 50 Lakhs an acre. But will separating the state and forming smaller states lead to drop in the real estate prices? Telangana integrally comprises of Hyderabad and Ranga Reddy Districts which are the economically developed areas, rest tier two cities include Mahboob nagar, Warangal, Khammam. But revenues for telangana would only be from Hyderabad. Now to analyse, lets think Hyderabad which recently has been converted in Greater Hyderabad adding many areas from R.R.District is proposed to be given to telangana, would a business established in Hyderabad by non Telangana people leave their assets and companies and shift to their native area? And why should one shift?? Is it a different country that is being formed? There is a popular that forming telangana will reduce the development in Hyderabad but I would differ from this and say that smaller states are better for development and already the development in progress in Hyderabad cannot be stopped real estate majors have started development of huge projects in Hyderabad, and still they are on an acquisition spree only in Hyderabad, a smaller state is easier for them to convince the government into giving them more sops!! In all probabilities my view is Telanagana would be announced before this elections and Hyderabad would be retained as an union territory making it the combined capital of the split states. If you are investor keep your money ready as prices would drop further and you can strike real good deals!! And to find the best deals on real estate and unbiased uptodate information login to http://www.fabacres.com The author of the article Mayur Mullaguri is a seasoned real estate investor who has been investing the Indian real estate market for long and runs a construction company and real estate portals.

Ratings:

You must be logged in to leave a rating.

Average rating: ( votes)

Comments:

No Comments Yet.

You must be logged in to leave a comment.

ARTICLES

Why do you need search engine optimisation and marketing?
Do you really think that you can run a successful online business without proper SEO and SEM? If you are not sure about the answer, please read the article.

Transmission of Hepatitis C
A virus with an RNA genome is responsible for causing Hepatitis C in the body. The disease is transferred from one body to another through blood contact.

Hyderabad Real Estate
Growth of Hyderabad is just augmenting day by day. Now it is the best time to own a piece of land in the prime areas of this city. Hyderabad real estate industry is running on a high pace from past few years.

Cochin Real Estate
The flow of money from Cochin real estate has prompted developers to get more organized themselves and become more apparent. Not only Indians, but Cochin real estate has attracted many foreigners as well for investment.

Bangalore Real Estate
Bangalore real estate properties are usually most glorified than any other city in India. In turn real estate sector is observing stead-fast, so buying a piece of land is a high-quality idea. Not only is the residential sector gaining popularity.

OTHER DIRECTORIES

HOSTING