Research shows that constructing luxury residential apartments in high-rise buildings in Mumbai costs around Rs 5,625 per square foot. In comparison, the estimated construction cost for houses in Hyderabad is about Rs 4,275 per square foot. Mumbai’s construction costs are approximately 10% higher than other major cities like Bengaluru, Pune, New Delhi, and Chennai.
Hyderabad is known for its relatively affordable low-cost house construction compared to other major cities in India. It is 14% more economical than Mumbai, which has high construction costs.
The expenses for constructing medium-rise commercial buildings vary by city. In Mumbai, it typically costs about Rs 3,250 per square foot, while in Delhi, the cost is approximately Rs 2,860 per square foot. Hyderabad offers a cost advantage with construction expenses averaging around Rs 2,470 per square foot for similar properties.
The rising cost of living is a significant factor in real estate decisions. Many companies are reevaluating their property choices to optimize their spending. While the specific impact of rising construction costs in Hyderabad is still debated, it is clear that construction expenses are increasing. Understanding and managing these costs are crucial for staying within budget and delivering high-quality projects.
Prospective property buyers in Hyderabad should expect higher property prices than before. The prices of construction materials in Hyderabad have increased following the pandemic. Limited production capacity and supply shortages have led to significant price hikes in essential construction materials like cement, steel, solid blocks, nails, binding wires, and plywood. As a result, the overall costs of both commercial and residential properties in Hyderabad have risen.
