Telangana Real Estate Sector Faces Continued Slump as Registration Revenue Declines
Hyderabad: The real estate sector in Telangana continues to face significant challenges, with revenue collection data from the Registration and Stamps Department indicating a steady decline.
The department's revenue collection was Rs 14,588.06 crore in 2023-24. This amount fell to Rs 14,214.42 crore in 2024-25. In 2025-26, revenue stood at Rs 12,443.64 crore till January 31, 2026. Collections improved in February, taking the total to Rs 13,775.51 crore. The department had projected revenue collection of around Rs 15,200 crore for the full financial year. However, with current trends, meeting this target seems unlikely.
Despite the ongoing slowdown, the department has set a higher target of Rs 16,021 crore for 2026-27. The sector has struggled to recover since the Congress government assumed office. Developers and builders cite multiple factors behind the continued slump, including global uncertainties, geopolitical tensions, concerns in the IT sector, and a broader economic slowdown.
Some industry players point to international developments, particularly in West Asia, which have added to the caution among buyers. NRIs and corporate employees are adopting a wait-and-watch approach, affecting enquiries, according to a CREDAI member. This trend has persisted over the past few months. Developers also mention that certain policy decisions by the state government have influenced buyer sentiment.
While the government has defended its stance on projects like Pharma City and actions such as HYDRAA demolitions, industry players say these moves have raised concerns among buyers. Even minor doubts can slow sales and make it harder to rebuild confidence. As a result, unsold inventory continues to rise, a developer noted, adding that things could improve in the current fiscal year.
The real estate sector in Telangana is closely tied to the state's economic growth and development. The government's efforts to boost the sector through various initiatives and policies will be crucial in reviving buyer confidence and driving growth. However, addressing the underlying issues and creating a stable and favorable environment for both developers and buyers will be essential in turning the tide.
