Hyderabad Apartment Prices May Rise Soon – New TDR Rule

Hyderabad real estate update: New TDR rule increases builder costs, which may raise apartment prices. Know what buyers should do now.

For the past two years, Hyderabad’s real estate market has been moving slowly. Many buyers waited, investors stayed cautious, and builders were careful with new projects. Now, just when the market is trying to recover, a new government rule may change the game — especially for apartment prices.

Let’s understand this in simple words.

New Rule by Telangana Government – What Is TDR?

The Telangana government has introduced a new rule related to TDR (Transferable Development Rights).

👉 If a building is more than 10 floors, the builder must now buy 10% extra TDR for the area above 10 floors.

Example:

A building has 40 floors
The first 10 floors are free
The remaining 30 floors need 10% TDR
This TDR is calculated on the built-up area and must be purchased

This may sound technical, but the impact is very real — it increases the total cost of construction heavily.

Why Builders Are Worried

High-rise buildings already cost more due to:

Deeper foundations
More safety systems
Elevators & maintenance
Fire and structural approvals

Now, with extra TDR charges added, builders will think twice before planning tall buildings.
In some areas, TDR charges can go up to several crores, especially in premium and dense localities.

Areas Where Impact Will Be High

In locations like:

Kukatpally
Azamabad
Other central Hyderabad zones

Land is expensive and TDR rates are high.
So, the final project cost increases sharply.

Who Will Feel the Real Impact?

👉 Middle-class homebuyers

Because builders will not absorb the cost, it will be added to apartment prices.

This means:

Flats may become costlier
Budget homes may reduce
High-rise projects may slow down
Buyers may have fewer choices

What Buyers Should Do Now

If you are planning to buy a flat in Hyderabad:

This is a good time to act, before prices rise further
Look for ongoing or approved projects (before new rules apply)
Focus on mid-rise projects (5–10 floors) which may remain more affordable
Consult a real estate expert before finalizing

Final Thoughts

This new rule may help the government in the long term, but in the short term, it will likely:

Increase apartment prices
Slow down new launches
Add pressure on buyers

If you are serious about buying a home in Hyderabad, don’t wait too long. The market is slowly waking up, and prices may not stay the same for much longer.