Who is buying Luxury Flats in Hyderabad?

 Here's a detailed look at the perspectives on who is buying ₹7 crore (70 million INR or about $1 million) flats in Hyderabad and why, as discussed in the Reddit thread:

1. Who Are the Buyers?

• High-Net-Worth Individuals (HNIs):
• These buyers tend to have net worth in the tens or hundreds of crores. For them, such a purchase represents a lifestyle choice, not a stretch or investment of last resort.
• Many are successful businesspeople, professionals, owners of thriving companies, or part of established wealthy families.
  
• Affluent Professionals & Entrepreneurs:
• The target audience includes top executives (CEOs), business owners, and those working in lucrative service sectors (lawyers, architects, accountants) who need to live close to key businesses and social hubs.
  

• Not Just NRIs: 

  Contrary to some assumptions, Non-Resident Indians are not the primary drivers of these sales. Most NRIs cannot stretch much beyond 1–3 crore. Corporate guesthouses for executives may be the exception.
  
• The bulk of these purchases come from residents with strong local ties and ongoing business interests in Hyderabad.
  
• Politicians and Real Estate Investors:
• Some commenters speculate on "black money" and corruption, suggesting upscale property serves as a haven for unaccounted wealth held by politicians or those connected to the system.

2. Motivations for Buying Expensive Flats

• Location and Convenience:
• Many such properties (e.g., MyHome Bhooja) are right next to major tech offices, simplifying daily life by cutting down on commute time.

• Community and Networking: Living

   in exclusive, luxury developments congregates wealthy, like-minded individuals.
• This clustering is seen as valuable for social networking (much like elite business schools), expanding friendships, and even business ventures.

• Amenities and Prestige: High

   prices often reflect access to expansive spaces, clubhouses, walkways, secure environments, and premier amenities—essentially a "city within a city" with its own micro-infrastructure.
• The prestige factor of belonging to an elite residential address plays a strong psychological role.
• Lifestyle Needs:
• For buyers in this bracket, these homes are primary residences, not mere investments. They're willing to pay for comfort, privacy, and luxury—despite Hyderabad's often lacking urban infrastructure.
• Alternative to Other Indian Metros:
• Similar (or higher) prices are seen in Mumbai, Delhi, or Gurugram for often less space and lower quality. Hyderabad's perceived relative value attracts such buyers.

3. Critiques and Counterarguments

• Infrastructure Concerns:
• Many, including the original poster, question the logic of paying such sums when the broader city infrastructure (roads, floods, footpaths, traffic) is considered poor.
• Some buyers acknowledge this but view it as the lasting reality—pointing out that luxury housing has private infrastructure and amenities that buffer them from citywide issues.
• Global Comparisons:
• The argument that $1 million can buy much more in the U.S. is countered: City-center living is expensive everywhere, and the equivalent property in prime cities like New York or San Francisco may be even pricier.
• Comparing city to suburb (or city to country) is seen as misleading by several commenters.
• Wealth and Choices:
• There's repeated insistence that those able to buy such properties cannot be considered naïve or foolish; they are making informed decisions for comfort, convenience, and community.
• Like luxury cars, these high-priced homes are seen as "toys" or lifestyle statements for those who can easily afford them.

4. Market Dynamics

• The Indian (and Asian) real estate market is driven not only by fundamentals but also by luxury, status, and competition for the best locations as cities grow in population and wealth.
• Owning real estate and gold remains a primary means of displaying success and status in Indian society, even above stocks, bonds, or foreign assets.

In brief: Most commenters agree that buyers of ₹7 crore flats in Hyderabad are either very wealthy individuals, successful entrepreneurs, professionals, or those with substantial local business interests. For them, such purchases are about comfort, networking, and status, less about investment returns, and—notably—much less about city infrastructure, which they bypass through access to exclusive amenities. NRIs and speculative investors play a smaller role than often assumed, and the purchase is rarely considered "foolish" by local standards, especially given similar or higher prices in other Indian metros.