Bengaluru real estate market 2030: Boom or slowdown ahead?

Bengaluru property prices may rise 40–73% by 2030, led by metro and ring road projects. North & East corridors drive growth; rentals steady at 4–6%

Bengaluru’s property market has undergone a dramatic transformation over the past five years, shifting from a post‑pandemic recovery phase to a premium‑driven powerhouse. In early 2021, average residential prices hovered around ₹5,500 per sq. ft, with strong annual sales exceeding 40,000 units. Localities such as Whitefield, Hebbal, and Sarjapur Road offered affordable entry points, supported by early metro expansion and IT sector stabilization. Rental yields were modest at 3–4%, and NRI participation remained limited.

Price Surge Since 2021
By Q4 2025, citywide averages had surged 68% to ₹9,500 per sq. ft, even as sales volumes dipped slightly to 62,205 units. North Bengaluru, anchored by Kempegowda International Airport, saw prices jump to ₹16,500–17,500 per sq. ft. Whitefield rose 65% to ₹15,500–16,500, Hebbal climbed 75% to ₹11,500, and Sarjapur doubled to ₹9,500. Unsold inventory increased 23%, rentals strengthened to 4–6% yields, and NRI share doubled to 20–30%, reflecting currency advantages and global investor interest. Ultra‑luxury launches expanded to 14% of new projects, signaling a shift in buyer profile toward high‑net‑worth individuals.

Infrastructure Catalysts
Future growth is expected to be anchored by major infrastructure projects. Metro Phase 3 is projected to lift property values by 30% along its corridors, while the Peripheral Ring Road promises to unlock connectivity in the northeast. Devanahalli is evolving into a world‑class aviation and smart city hub. Policy support, including PMAY extensions, tax deductions, and reduced loan rates, further strengthens affordability for select segments.

Also Read: Tenant alleges harassment, theft and forced eviction by house owner in Bengaluru

Projections for 2030
Analysts forecast citywide averages rising to ₹13,000–16,000 per sq. ft by 2030, a 40–73% increase from current levels. North Bengaluru could see Hebbal and Yelahanka touch ₹22,000 per sq. ft, while East Bengaluru’s Whitefield and Sarjapur are expected to reach ₹19,000–22,000. Rental yields are projected to remain steady at 4–6%, offering consistent cash flow. Risks include oversupply, estimated at 5–7%, which may require investors to diversify portfolios.

Investor Strategies
NRIs are focusing on North Bengaluru for long‑term land appreciation, millennials are targeting apartments with reliable rental yields, and HNIs are investing in luxury villas for 8–12% annual returns. Institutional investors are backing hybrid projects that combine office and residential spaces.

Outlook
With infrastructure upgrades, policy support, and strong investor interest, Bengaluru is poised to cement its status as India’s real estate magnet. While affordability and inventory management remain challenges, the city’s north and east corridors are set to define its property future through 2030.

Also Read:Bank Assistant Manager arrested for stealing gold to fund online bettingWhitefield, Hebbal, and Sarjapur Road