Hyderabad: The real estate market in Hyderabad, once driven by a strong IT workforce, is experiencing changes as fresh layoffs hit the sector. Bookings have slowed down, and many buyers are waiting to make a decision.
While no cancellations have been reported so far, payment delays are becoming noticeable. Builders say the real estate market is gradually feeling the shift, and there will be an impact on the sector as a result.
The impact is most visible in the mid- to premium-housing segments.
“Hyderabad’s real estate boom over the past five years was largely fuelled by salaried IT professionals. With multiple layoffs reported, many prospective homebuyers have hit the pause button. This has caused a noticeable drop in site visits and new bookings, especially for 2BHK and 3BHK apartments priced between Rs 70 lakh and Rs 1.5 crore,” said Chalam C.S., the CEO of Cresco Housing Projects.
“There’s a pause in buyer decisions; the market is clearly entering a wait-and-watch mode. People are thinking longer before committing. I have a new villa project coming up next month, and I’m now reconsidering the pricing,” he added.
“People are still enquiring, but they are not closing deals. Site visits are happening, but no one is committing. Financial worries are clearly visible among buyers,” said V. Gowtham of RK Builders and Developers. “We have already had to revise our rates to cope with the slowdown in demand,” he added.
“People from the IT sector are the most affected. While there may not be an immediate price drop, if the layoffs continue, there could be a significant impact on Hyderabad’s real estate sector,” said Ravi Sambari from Hyderabad Urban Realty.
According to developers, buyers who have booked homes are mostly holding on, although payment timelines are being delayed. The major concern is a potential drop in new sales and growing hesitation to buy, especially among first-time homebuyers working in tech.
“Many NRIs are waiting for the right time. Enquiries from abroad have dropped, and they too are now watching the market closely,” said Dr Nandi Rameswara Rao, the founder and CEO of Realtor Oxygen and a real estate expert. He estimates around a 15–20 per cent dip in sales and a five per cent cancellation rate in the real estate sector since the layoffs began earlier this year.
Developers are also observing a shift toward smaller units among middle-income buyers. “There are no expected sales in the luxury or ultra-luxury segments right now. The mid-range and budget homes are still seeing some traction. Tech professionals are avoiding big financial commitments — they’re playing it safe,” added Gowtham.
While prices may remain steady for now, many buyers are postponing big decisions. Much depends on how the job market shapes up in the coming months. If layoffs continue, the real estate sector will inevitably feel the impact.
