Bangalore tops real estate sales across India setting records

Bengaluru tops India's real estate market with 18,550 units sold last quarter. New launches increased by 45%, with Whitefield leading. The upper-mid segment dominates sales, while rental yields hit 4.45%, the highest nationwide.

In a recent study by JLL Research, India’s real estate market today gets a major boost, with Bengaluru being cited as the nation’s leading residential property market. This IT hub posted a staggering figure of 18,550 units sold in the last quarter of the financial year, which made it the first choice for home buyers.

The report also reveals new launches of properties have gone up by a big margin of 45% to a total of 16,537 units. According to Rahul Arora, the Senior Managing Director at JLL India, this growth is due to the existence of strong IT industry in Bengaluru, ongoing infrastructure developments, and business friendly climate.

Whitefield, an important suburb, was responsible for this as it provided 47% of the total new supply. It has been augmented by the growth of offices in the area and the recent expansion of the Namma Metro. Other important roads include Hosur Road, Bellary Road and others.

The upper-mid segment, which includes apartments within the Rs 1 crore to Rs 3 crore price range, contributed the maximum amount of 62 percent of the total supply. For instance, the products that were developed and released to the market in the first half of the year contributed to a quarter of total sales, proving that the buyers trust new products and services.

While elaborating on the trend, Samantak Das, Chief Economist at JLL India, pointed out that the market has shown a marked decline in unsold inventory level, which is indicative of the sound health of the market. Moreover, the data of Anarock as of April 2024 showed that Bengaluru came out on top of the list with rental yield of 4 percent among major cities in India. 45% out of which 24% are new customers acquired since the Covid times from the pre Covid numbers.

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The liberalization of policies that enable developers from across the nation and region to invest in Bengaluru, therefore, does not appear to be coming to a standstill anytime soon, and this only confirms Bengaluru’s position as being India’s most active real estate market.