Hyderabad’s residential market recorded a mixed performance in the first half of CY26. Home sales volumes declined even as sales value and residential area absorption remained strong. According to the Hyderabad Housing Report H1 CY26, released by CREDAI Hyderabad and CRE Matrix, the city sold 26,068 homes worth ₹52,913 crore during H1 CY26. Hyderabad also recorded approximately 60 million sq. ft. of residential area sold. This is the highest among major Indian housing markets during the period.
While sales volumes declined 13% year-on-year, the average ticket size rose 10% to ₹2.03 crore. This points to continued demand for larger and higher-value homes. At the same time, new launches surged 37% YoY to 49,656 units. This raised the city’s unsold inventory and put the market’s absorption capacity under closer watch.
How did Hyderabad’s housing market perform in H1 CY26?
Hyderabad sold 26,068 homes in H1 CY26, a 13% decline from the same period last year. This placed the city fourth nationally by housing sales volume, behind Pune, Bengaluru and Thane.
The moderation in volumes follows a softer CY25, when Hyderabad recorded 56,776 units sold. This number is approximately 2% lower than the previous year.
However, the decline in unit sales did not translate into a decline in the overall value of homes sold. Hyderabad recorded ₹52,913 crore in residential sales value in H1 CY26. This makes it India’s third-largest housing market by sales value, behind Bengaluru and Mumbai.
Why did housing sales value rise despite lower volumes?
The rise in sales value was supported by an increase in the average ticket size.
Hyderabad’s average ticket size increased 10% year-on-year to ₹2.03 crore in H1 CY26, compared with ₹1.85 crore in H1 CY25.
This suggests that the market’s value growth was driven less by an increase in the number of transactions and more by the sale of higher-value homes. The trend is also reflected in the city’s residential area absorption, with buyers continuing to show a preference for larger homes.
How much residential space did Hyderabad sell?
Hyderabad sold approximately 60 million sq. ft. of super built-up residential area in H1 CY26, the highest among major Indian markets.
The average unit size sold was approximately 2,300 sq. ft., highlighting the city’s relatively strong preference for larger homes.
The trend is particularly evident in Hyderabad’s premium markets. In the South West macro-market, for instance, 42% of unsold homes measure more than 2,500 sq. ft., reinforcing its positioning as the city’s premium residential market.
Did new housing supply keep pace with demand?
New housing supply increased sharply during H1 CY26. Developers launched 49,656 units, marking a 37% YoY increase and the highest launch volume recorded in the period.
The number of new launches was almost 1.9 times the number of homes sold. This created a wider gap between supply and absorption.
This supply expansion has also contributed to an increase in unsold inventory across the city. However, the nature and completion timeline of this inventory provide some context to the headline overhang.
What does Hyderabad’s rising unsold inventory indicate?
Hyderabad’s citywide unsold inventory increased 21% YoY to 142,722 units in H1 CY26. This takes the inventory overhang to approximately 29 months.
Around half of this unsold inventory is priced above ₹1.5 crore, with homes in the ₹1–1.5 crore price bracket accounting for approximately 30% of the total.
However, the inventory overhang needs to be viewed alongside project completion timelines. Only around 21% of the unsold stock is ready or expected to be completed during 2026, while a large portion is scheduled for completion in 2027-28 and beyond.
This means much of the inventory is still under construction, giving developers additional time to sell these homes as market demand strengthens.
Which Hyderabad macro-market continues to dominate housing sales?
Hyderabad North West remained the dominant residential macro-market, accounting for 73% of the city’s housing sales value in H1 CY26.
However, its share has declined from 79% in H1 CY25, suggesting that housing activity is gradually becoming more distributed across the city.
North West recorded 19,087 units sold in H1 CY26, while new supply reached 40,589 units. Its unsold inventory stood at 113,016 units, resulting in an inventory overhang of approximately 30 months.
Which macro-market is emerging as Hyderabad’s fastest-growing housing market?
Hyderabad South West continued to strengthen its position, accounting for 17% of the city’s housing sales value in H1 CY26, compared with 10% in H1 CY22.
It was also the city’s most expensive macro-market, with residential prices reaching approximately ₹10,450 per sq. ft.
Despite being a premium market, South West’s inventory overhang narrowed to approximately 20 months, while its unsold inventory remained broadly stable at 10,537 units.
The South West market also recorded an average ticket size of ₹2.91 crore in H1 CY26, compared with ₹2.09 crore in H1 CY25.
How are the other Hyderabad housing markets performing?
The North East market showed signs of recovery, with H1 CY26 sales reaching 1,978 units, already higher than the 1,608 units recorded in H1 CY25. Its average ticket size increased to ₹1.52 crore.
The South East remained more mid-market oriented, with 67% of its unsold inventory priced below ₹1.5 crore. Its inventory overhang stood at approximately 26 months.
These differences highlight the increasingly diverse nature of Hyderabad’s housing market, with premium demand concentrated in markets such as South West while North East and South East continue to offer relatively more value-oriented housing options.
Could Hyderabad’s office market support residential demand?
The city’s expanding office market could provide an important structural support to residential demand over the coming years.
Hyderabad currently has approximately 169.7 million sq. ft. of office stock, with another 82.4 million sq. ft. under construction. This takes the city’s existing and upcoming office supply to more than 250 million sq. ft.
Office leasing remained healthy, with approximately 6.8 million sq. ft. of demand recorded in H1 CY26.
The continued expansion of office infrastructure, particularly in employment-generating sectors, could translate into stronger housing demand as more jobs and workers are added to Hyderabad’s commercial ecosystem.
What does the Hyderabad housing market outlook look like?
The Hyderabad Housing Report H1 CY26 points to a market undergoing a shift rather than a broad-based slowdown.
Housing sales volumes have softened, but sales value remains strong. Residential area absorption is the highest among major Indian markets, and average ticket sizes continue to rise. At the same time, the sharp increase in new launches and unsold inventory highlights the need for supply to align more closely with the pace of demand.
With a substantial portion of the unsold inventory still under construction and the city’s office market continuing to expand, Hyderabad has the potential to gradually absorb the current housing stock as employment-led demand strengthens.
Want to understand Hyderabad’s housing market beyond the headlines? Explore CRE Matrix’s real estate data and market intelligence to track residential sales, pricing, inventory, and emerging market trends.
Media Mentions
- Deccan Chronicle: Hyderabad Housing Market Posts Record Sales In H1 2026.
- The New Indian Express: Hyderabad leads in home sales area, sees deals worth Rs 53K cr
- Property Pulse: Hyderabad housing sales fall 13% as ticket sizes rise.
- My Startup: CREDAI Hyderabad Property Show 2026 themed ‘Rate Aagadu, Demand Thaggaadu’ Inaugurated.
- Passionate in Marketing: CREDAI Hyderabad Property Show 2026 themed ‘Rate Aagadu, Demand Thaggaadu’ Inaugurated.
