Hyderabad Leads South India's Luxury Housing Market with ₹8,562 Crore Sales in FY26: Report

New Delhi, May 5: Hyderabad has emerged as the largest market for ultra-luxury housing in South India, recording transactions worth ₹8,562 crore for homes priced above ₹10 crore in FY26, according to a report by India Sotheby's International Realty and CRE Matrix.

Bengaluru's Growth

Bengaluru reported the fastest growth in this segment, with unit sales rising 52 per cent year-on-year to 128 units in FY26 from 84 units in the previous financial year. The total transaction value in the city stood at ₹1,957 crore.

Hyderabad's Expansion

Hyderabad's luxury housing segment has expanded significantly over the past four years, with transaction value increasing from ₹2,447 crore to ₹8,562 crore.

• Over half the transactions involve apartments exceeding 8,000 sq ft

• Villas and row houses accounted for about 40 per cent of total transaction value

Bengaluru's Growth Drivers

Growth in Bengaluru has been driven by emerging micro-markets, particularly in the north-west corridor, indicating expansion of luxury housing beyond traditional prime locations.

Chennai Market

Chennai remained a smaller market in comparison, recording ₹727 crore in ultra-luxury housing sales during FY26. Demand continues to be concentrated in established central locations such as Abhiramapuram and Alwarpet.

Space Comparison

For a ₹10 crore investment:

• Hyderabad: ~6,200 sq ft

• Chennai: ~4,300 sq ft

• Bengaluru: ~3,900 sq ft